Variance % Calculator

Variance Percentage Formula:

\[ \%\,Var = \frac{V_{new} - V_{old}}{V_{old}} \times 100 \]

Variance Percentage (%):

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1. What is a Variance Percentage Calculator?

Definition: This calculator measures the percentage difference between a new value and an old value.

Purpose: It helps analyze changes in metrics like prices, quantities, performance indicators, or any measurable values over time.

2. How Does the Calculator Work?

The calculator uses the formula:

\[ \%\,Var = \frac{V_{new} - V_{old}}{V_{old}} \times 100 \]

Where:

\( \%\,Var \) — Percentage variance
\( V_{new} \) — New measurement/value
\( V_{old} \) — Original measurement/value

Explanation: The formula calculates the relative change between two values as a percentage of the original value.

3. Importance of Variance Calculation

Details: Percentage variance is crucial for financial analysis, performance tracking, scientific experiments, and quality control.

4. Using the Calculator

Tips: Enter the new value and original value. The old value cannot be zero (division by zero is undefined).

5. Frequently Asked Questions (FAQ)

Q1: What does a positive percentage mean?
A: A positive result indicates an increase from the old value to the new value.

Q2: What does a negative percentage mean?
A: A negative result indicates a decrease from the old value to the new value.

Q3: Why can't the old value be zero?
A: Division by zero is mathematically undefined, making percentage change calculations impossible.

Q4: How is this different from percentage difference?
A: Percentage variance compares to an original value, while percentage difference compares two values symmetrically.

Q5: What fields use this calculation?
A: Finance, economics, science, engineering, business analytics, and quality management all use variance percentages.