Reverse Percentage

Reverse percentage, also known as backwards percentage or inverse percentage, refers to the process of finding the original value when only the final value and the percentage change are known. It involves determining what the original amount was before a certain percentage increase or decrease occurred.

The formula for reverse percentage can be expressed as:

$\text{Original Value}=\frac{\text{Final Value}}{1+(\text{Percentage Change}\mathrm{/}100)}$

or

$\text{Original Value}=\frac{\text{Final Value}}{1-(\text{Percentage Change}\mathrm{/}100)}$

depending on whether it's a percentage increase or decrease, respectively.

For example, if a product's price increased by 20% and the final price is $120, you can use reverse percentage to find the original price:

$\text{Original Price}=\frac{120}{1+(20\mathrm{/}100)}$

$\text{Original Price}=\frac{120}{1.2}$

$\text{Original Price}=100$

So, the original price of the product was $100 before the 20% increase.

Reverse percentage calculations are useful in various real-life scenarios, such as determining the original price of a discounted item, calculating the original quantity of a substance before dilution or concentration, or figuring out the initial value of an investment before a certain percentage gain or loss.

 

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