If Dow Jones closes at 20,093.78 in Jan. and in Nov. if closes at 23,590.83, what is the absolute change between the closing figures and what is the relative change between the closing figures?
absolute: just subtract one from the other
relative: divide that difference by the starting value (and express as a percent)
my first answer is 3497.05. found to the hundredths of a point is 3500. correct?
To calculate the absolute change between the closing figures, you subtract the initial value from the final value. In this case, the initial closing figure is 20,093.78, and the final closing figure is 23,590.83.
Absolute Change = Final Value - Initial Value
Absolute Change = 23,590.83 - 20,093.78
The absolute change between the closing figures is approximately 3,497.05.
To calculate the relative change between the closing figures, you divide the absolute change by the initial value and multiply by 100 to express it as a percentage.
Relative Change = (Absolute Change / Initial Value) * 100
Relative Change = (3,497.05 / 20,093.78) * 100
The relative change between the closing figures is approximately 17.40%.