# FAQs

Percentages can sometimes be confusing, so we've compiled a list of frequently asked questions to help clarify common doubts.

## What is a Percentage?

A percentage is a way of expressing a number as a fraction of 100. It is denoted using the percent sign `%`

.

**Example:**45% means 45 out of 100.

## How Do I Calculate a Percentage of a Number?

To find X% of a number Y:

**Formula:**(X/100) * Y**Example:**20% of 50 = (20/100) * 50 = 10

## How Do I Find What Percentage One Number Is of Another?

To find what percentage number A is of number B:

**Formula:**(A/B) * 100%**Example:**25 is what percent of 200? (25/200) * 100% = 12.5%

## How Do I Calculate Percentage Increase or Decrease?

**Percentage Increase:**((New Value - Original Value) / Original Value) * 100%**Percentage Decrease:**((Original Value - New Value) / Original Value) * 100%

**Example (Increase):** Price increases from $50 to $65.

- ((65 - 50) / 50) * 100% = 30% increase

**Example (Decrease):** Price decreases from $80 to $60.

- ((80 - 60) / 80) * 100% = 25% decrease

## What Is Compound Interest?

Compound interest is interest calculated on the initial principal and also on the accumulated interest of previous periods.

**Formula:**A = P(1 + r/n)^(nt)**Variables:**- A = the future value
- P = principal amount
- r = annual interest rate (decimal)
- n = number of times interest is compounded per year
- t = time in years

## How Do I Convert a Decimal to a Percentage?

Multiply the decimal by 100 and add a percent sign.

**Example:**0.75 * 100% = 75%

## How Do I Convert a Fraction to a Percentage?

Divide the numerator by the denominator and multiply by 100%.

**Example:**(3/4) * 100% = 75%

## What Is a Percentage Point?

A percentage point is the unit for the arithmetic difference of two percentages.

**Example:**An increase from 10% to 12% is a 2 percentage point increase.

## Is There a Difference Between Percentage Change and Percentage Point Change?

Yes. Percentage change refers to the relative change, while percentage point change refers to the absolute difference between two percentages.

**Example:**From 10% to 12%:- Percentage Point Change: 2 percentage points
- Percentage Change: ((12% - 10%) / 10%) * 100% = 20% increase

## How Do Sales Taxes Work?

Sales tax is calculated as a percentage of the purchase price.

**Example:**If the sales tax rate is 7% and the item costs $100, tax is $7.

If you have more questions, feel free to use our Percentage Calculator to explore different calculations or contact us for further assistance.