MBA Quantitative Aptitude Basic Concepts – Percentage

We have covered many topics of arithmetic section, but now we will focus our attention on ‘Percentages’ topic which holds great significance in any aptitude which you aim to excel. Out of the 8-10 questions which are expected from the arithmetic chapter of CAT examination, you can expect an application of this topic embedded in the questions. 

Alongside, you can also expect an in-direct application of this topic in the Data Interpretation Section. Hence, this will serve the twin purpose to prepare you for the Quantitative Aptitude Section, as well as the Data Interpretation Section.

Acquire a basic understanding of formulas of ‘Percentages’ in order to fetch top scores in the CAT, CMAT, MAT, XAT, IIFT, SNAP and many more exams .

Percentage can be divided into per-cent-age that means ‘per every hundred’. It is denoted by the symbol %. For instance if a student scores 20 out of 25, his score out of 100 is given by multiplying the fraction by 100.

That is,

Thus any given ratio can be converted into percentage by multiplying the ratio with hundred, and the vice versa to convert percentage into decimal or fraction.

Percentage change

There are two changes when a quantity gets modified. They are

1. Actual change
2. Percentage change

For example, when the price if a product goes up from Rs 100 to Rs 120, the actual change is Rs 20. This is given by Rs 120-Rs 100.

The Percent change can be calculated by,

Thus, the percentage rise in value can be given by

Relationship between percentage and ratio:

There is a direct relationship between the numerator of a ratio and the ratio itself. If the numerator increases by a certain percentage, the ratio also increases by the same percentage, if the denominator remains constant.

For example, 25/40 is 25% more than 20/40. (As the rise in numerator (5) is 25% percentage of its initial value (20))

Percentage required nullifying a percentage rise:

Read Also: Application Based Questions on Percentages

We hope that these concepts along with their related exercise will aid you in your preparation of Percentages chapter.

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