Percent Decrease Over Time Calculator

| Added in Math & Numbers

What is Percent Decrease Over Time?

Percent Decrease Over Time measures how quickly a value is declining on average. By dividing the total percentage decrease by the time period, you get the average rate of decrease per time unit. This is useful for understanding trends in prices, populations, performance metrics, and more.

How to Calculate Percent Decrease Over Time

The formula for calculating percent decrease over time is:

[\text{Percent Decrease Rate} = \frac{\text{Total Percentage Decrease}}{\text{Total Time}}]

Where:

  • Percent Decrease Rate is the average decrease per unit time
  • Total Percentage Decrease is the cumulative decrease over the period
  • Total Time is the duration of the observation period

Calculation Example

Suppose a stock's value decreased by 15% over 5 months.

Step 1: Identify the values:

  • Total Percentage Decrease: 15%
  • Total Time: 5 months

Step 2: Apply the formula:

[\text{Percent Decrease Rate} = \frac{15}{5}]

Step 3: Calculate:

[\text{Percent Decrease Rate} = 3% \text{ per month}]

The stock is decreasing at an average rate of 3% per month.

Applications

Scenario Total Decrease Time Rate
Asset depreciation 20% 4 years 5%/year
Population decline 6% 12 months 0.5%/month
Sales decline 30% 6 quarters 5%/quarter
Temperature drop 10% 5 hours 2%/hour

Frequently Asked Questions

It is the average rate at which a value decreases, expressed as a percentage per time unit. This helps understand the pace of decline in values like prices, populations, or performance metrics.

This calculator gives a simple average rate. Compound decrease accounts for the decreasing base over time, which would require a different formula involving exponentials.

Use any consistent unit (days, weeks, months, years). The result will be in percentage per that unit. For example, if you enter time in months, the result is percent decrease per month.

Yes, this can estimate simple linear depreciation rates. For accounting purposes, you may need to consider specific depreciation methods like declining balance.