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7-10percentages

Percentage Increase in Prices

A percentage increase is found with ((New − Old) ÷ Old) × 100. Expressing a price rise as a percentage — rather than just a money amount — shows whether the increase is small or significant relative to the original.

In this lesson

Percentage Increase in Prices is part of Percentages in Money. This preview shows how percentages connects to everyday family decisions such as earning, saving, spending choices, goals, approvals, or parent-guided money conversations inside Progress Penguin.

Think about this money choice

Bola's favourite bread cost 200 in local currency last month. This month it costs 240 in local currency.

How it works

A percentage increase tells you how much a price has gone up relative to the original. Formula: ((New price − Old price) ÷ Old price) × 100. This number matters because it tells you whether a price rise is small or significant — not just how much more it costs.

Try a real-life example

Real-life money moment: Bola's favourite bread cost 200 in local currency last month. This month it costs 240 in local currency. Increase: 40 in local currency. Percentage: (40 in local currency ÷ 200 in local currency) × 100 = 20%. The bread is 20% more expensive — a significant rise for a staple food.

Activity preview

Try the challenge

Use what you learned to complete this short challenge.

Practice funding your spending account

Open Requests and make a deposit request so you can see how money gets added before spending. Parent approval can happen later.

Quiz preview

A Percentage Increase in Prices means:

A price increase only affects luxury goods, not everyday items
The price has risen by a set percentage of the original amount
The price has doubled due to inflation in the local economy
The item now costs a set number of your local currency more than before

Bread that cost 400 in local currency now costs 480 in local currency. The percentage increase is:

80% — because the new price ends in 80
120% — because the new price represents 120 divided by original
8% — because 80 in local currency divided by 1000 equals 0.08
20% — because 80 in local currency increase is 20% of 400 in local currency