How To Calculate Absolute Gain

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How To Calculate Absolute Gain
How To Calculate Absolute Gain

Video: How To Calculate Absolute Gain

Video: How To Calculate Absolute Gain
Video: Absolute and Relative Gains 2024, December
Anonim

To determine the intensity of changes in any indicators for a certain period of time, a set of characteristics is used, which are obtained by comparing several levels of indicators measured at different points on the time scale. Depending on how the measured indicators are compared with each other, the characteristics obtained are called the growth rate, growth rate, growth rate, absolute growth or the absolute value of 1% growth.

How to calculate absolute gain
How to calculate absolute gain

Instructions

Step 1

Determine exactly which indicators and how you need to compare with each other in order to get the desired value of the absolute increase. Proceed from the fact that this characteristic should show the absolute rate of change of the studied indicator and be calculated as the difference between the current level and the level taken as the basic one.

Step 2

Subtract from the current value of the studied indicator its value, measured at that point on the time scale, which is taken as the base. For example, let's say that the number of workers employed in production at the beginning of the current month is 1549 people, and at the beginning of the year, which is considered the base period, it was equal to 1200 workers. In this case, the absolute growth for the period from the beginning of the year to the beginning of the current month was 349 units, since 1549-1200 = 349.

Step 3

If you need not only to calculate this indicator for one last period, but also to determine the average value of the absolute increase over several periods, then you need to calculate this value for each time mark in relation to the previous one, then add the resulting values and divide them by the number of periods. For example, let's say that you need to calculate the average value of the absolute increase in the number of personnel employed in production by months of the current year. In this case, subtract from the value of the indicator as of the beginning of February, the corresponding value for the beginning of January, then do the same for the pairs March / February, April / March, etc. Having finished with this, add up the obtained values and divide the result by the ordinal number of the last of the months of the current year participating in the calculation.

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