Rate Difference

[keither]

I'm actually making a calculator that a user can adjust the deductible number.

I basically need to calculate the difference between these and make a formula for a chaning deductible price.
$1,102 premium with $1,000 deductible VS premium $702 with $5,000 deductible
(Deductible increases by 500%, premium decreases by about 36%)


Thanks for any help.

 

[Ishuda]

I'm actually making a calculator that a user can adjust the deductible number.

I basically need to calculate the difference between these and make a formula for a chaning deductible price.
$1,102 premium with $1,000 deductible VS premium $702 with $5,000 deductible
(Deductible increases by 500%, premium decreases by about 36%)


Thanks for any help.

There are several ways to make a formula to fit what you have. Possibly the easiest is a linear fit using the two point form:
(P - P1) / (P2 - P1) = (D - D1) / (D2 - D1)
where P1 and D1 are the first premium and deductible and P2 and D2 are the second.

 

[keither]

1000 increasing to 5000 is NOT a 500% increase...make sure you understand why...

a = initial premium (1102)
b = new premium (702)

c = initial deductible (1000)
d = new deductible (5000)

u = percentage premium change (?)
v = percentage deductible change (?)

u = (b/a - 1) * 100 ; (702/1102 - 1) * 100 = -36.2976.....%
v = (d/c - 1) * 100 ; (5000/1000 - 1) * 100= 400%

Thanks for replying!

I may have not explained this too well.
The user will know the A variable but I need to calculate the B variable given a constant D value of 5000 and a user changeable C variable.

u = (b/a - 1) * 100 ; (variableToCalculate/userInput - 1) * 100 = -36.2976.....%
v = (d/c - 1) * 100 ; (5000/userInput - 1) * 100= 400%