Forum Discussion
packie
May 08, 2024Brass Contributor
Usage average should have returned zero
Hi Folks, I am a bit puzzled why when using Average the result did not return (0) There is two examples: Example A: starts and ends with a value of 1000 and returns 0.027% Example B: ...
packie
May 09, 2024Brass Contributor
So its the changes taking place using percentage that the problem
Interesting.
Thank you
Interesting.
Thank you
PeterBartholomew1
May 09, 2024Silver Contributor
Exactly. This can be seen from the fact that an 80% decrease followed by an 80% increase does not return you to the start.
1000 --> 200 --> 360
To get back to 1000 would require a 400% increase, and -80% + 400% ≠ 0.
- Martin_AngostoMay 09, 2024Iron Contributor
To add to the pot:
Note that mathematically speaking, if you add, for instance, a 10% to 50 = 55.If you wanted to reverse this operation, it would not be correct to do 55 * 90%, as it results in 49.50.
To reverse this operation correctly; 55 / ( 1+ 10%) = 50.