Courses
Courses for Kids
Free study material
Offline Centres
More
Store Icon
Store

What is Percentage? Concepts, Formulas & Real-life Uses

Reviewed by:
ffImage
hightlight icon
highlight icon
highlight icon
share icon
copy icon
SearchIcon

How to Calculate Percentage Step by Step with Examples

The concept of percentage plays a key role in mathematics and is widely applicable to both real-life situations and exam scenarios. Knowing how to calculate, compare, and use percentages makes understanding marks, discounts, profits, and data easy. Let’s break down percentage so every student, from Class 6 to board exams, can master it step by step!


What Is Percentage?

A percentage is defined as a number or ratio expressed as a fraction of 100. The symbol for percentage is ‘%’. You’ll find this concept applied in areas such as marks calculation, profit and loss, and discounts in daily shopping. For example, if you score 90 out of 100 in a test, you have secured 90% marks.


Key Formula for Percentage

Here’s the standard formula: \( \text{Percentage} = \frac{\text{Actual Value}}{\text{Total Value}} \times 100 \)


Cross-Disciplinary Usage

Percentage is not only useful in Maths but also plays an important role in Science (like concentration or error calculation), Economics (interest rates), and daily decision-making. Students preparing for JEE, NEET, and other competitive exams will find lots of real-world percentage questions. Even in subjects like Social Science, percentage helps interpret statistics and survey data.


Step-by-Step Illustration

  1. Suppose you scored 432 out of 600 marks in an exam. What is your percentage?
    Step 1: Use the formula:
    Percentage = (432 / 600) × 100

  2. Divide 432 by 600:
    432 / 600 = 0.72

  3. Multiply 0.72 by 100:
    0.72 × 100 = 72

  4. Final Answer: Your percentage is 72%

Calculating Percentage Increase and Decrease

To find how much a quantity has increased or decreased in percentage:

  • Percentage Increase = \( \frac{\text{Increase}}{\text{Original Value}} \times 100 \)
  • Percentage Decrease = \( \frac{\text{Decrease}}{\text{Original Value}} \times 100 \)

For example, if a price goes from ₹150 to ₹180:

  1. Increase = 180 - 150 = 30
  2. Percentage increase = (30 / 150) × 100 = 20%

Speed Trick or Vedic Shortcut

Here’s a quick shortcut for finding 10%, 20%, 5% of any value mentally:

  1. To find 10%: just move the decimal one place left (10% of 380 = 38)
  2. For 5%: take half of 10% (5% of 380 = 19)
  3. For 20%: double the 10% result (20% of 380 = 76)

Tricks like these are often shared live by Vedantu teachers for rapid calculation in NTSE, Olympiad, and entrance tests. Try practicing them for quick maths in shops or exams!


Try These Yourself

  • If 75 out of 100 students passed, what is the pass percentage?
  • Convert 0.25 into percentage.
  • An item is at 20% discount. If the marked price is ₹250, what is the selling price?
  • The salary increased from ₹12,000 to ₹15,600. What is the percentage increase?

Frequent Errors and Misunderstandings

  • Forgetting to multiply the ratio by 100 to get the percentage.
  • Swapping the numerator and denominator.
    (Always Actual/Total, not Total/Actual)
  • Confusing percentage with percentile—they are not the same!

Relation to Other Concepts

The idea of percentage connects closely with topics such as Profit & Loss Percentage and Fraction to Percent. Mastering percentage helps with understanding Discount Rate and Ratio and Proportion, which are common in word problems and higher classes.


Classroom Tip

A quick way to remember percentage calculation is to imagine dividing a number into 100 equal parts. If you have 45 out of 100, you immediately know it’s 45%. To compare or find a percentage of a number, always multiply by 100 in the last step. Vedantu’s teachers share many memory tricks in their sessions for fast recall!


We explored percentage—from definition, formula, examples, mistakes, and connections to other useful maths chapters. Continue practicing with Vedantu to become confident in calculating, comparing, and solving all types of percentage problems—whether for exams or day-to-day life!


FAQs on What is Percentage? Concepts, Formulas & Real-life Uses

1. What is percentage in mathematics?

Percentage is a mathematical way to express a number as a fraction of 100. For example, 25% means 25 out of every 100. It helps compare quantities easily using the formula $\text{Percentage} = \frac{\text{Part}}{\text{Whole}} \times 100$.

2. How do you calculate percentage of a number?

To calculate percentage of a number, multiply the number by the percentage and then divide by 100. For example, 30% of 200 is $200 \times \frac{30}{100} = 60$. This formula makes finding the portion straightforward.

3. Why are percentages important in daily life?

Percentages are important in daily life because they help us understand discounts, taxes, interest rates, and statistics. Some uses include:

  • Shopping discounts
  • Exam scores
  • Financial calculations
  • Population data

They make comparisons quick and easy.

4. What is the formula for finding percentage change?

The percentage change shows how much a value increases or decreases. Use the formula $\text{Percentage Change} = \frac{\text{New Value} - \text{Original Value}}{\text{Original Value}} \times 100$. Positive results mean increase, negative results mean decrease.

5. How do you convert a fraction to a percentage?

To convert a fraction to a percentage, multiply the fraction by 100. For example, for $\frac{3}{5}$, calculate $\frac{3}{5} \times 100 = 60\%$. This way, any fraction can be easily expressed as a percentage.

6. What is the difference between percentage and percent?

Percent means "per hundred" and uses the symbol %, such as 40%. Percentage is the general term for the concept or result. For example, 40% is a percent, and you might ask what percentage of students passed.

7. How do you calculate percentage increase and decrease?

To calculate percentage increase, use $\frac{\text{New Value} - \text{Original Value}}{\text{Original Value}} \times 100$. For percentage decrease, do the same but the new value is less than the original. The steps work for any percentage change problem.

8. How are decimals converted to percentages?

To convert a decimal to a percentage, multiply it by 100 and add the % symbol. For example, 0.75 becomes $0.75 \times 100 = 75\%$. This method works for any decimal value.

9. Where are percentages used in real-world scenarios?

Percentages are common in the real world, especially for:

  • Calculating discounts
  • Analyzing data
  • Interest rates
  • Examination scores

Using percentages helps simplify complex numbers in these daily tasks.

10. How do you find what percentage one number is of another?

To find what percentage one number is of another, use $\frac{\text{Part}}{\text{Total}} \times 100$. For example, if 40 out of 200 students passed, $\frac{40}{200} \times 100 = 20\%$ passed.

11. What is meant by percentage error?

The percentage error is a measure of how inaccurate a value is, compared to a true value. The formula is $\frac{|\text{Approximate Value} - \text{Exact Value}|}{|\text{Exact Value}|} \times 100$. Lower percentage error means higher accuracy.

12. Are there shortcuts for quickly finding percentages?

Yes, there are shortcuts for quick calculation of percentages:

  • 10% is one-tenth
  • 50% is half
  • Multiply by 1%, then scale up
  • For multiples of 5%, know common benchmarks
These shortcuts save time in mental math.