The formula to calculate the Basis Points (BPS) is:
\[ \text{BPS} = \text{P} \times 100 \]
Where:
BPS, short for basis points, is a term used to describe 1/100th of a percentage. That is, 1 basis point is 0.01%.
Let's consider an example:
Using the formula to calculate the Basis Points:
\[ \text{BPS} = 2 \times 100 = 200 \, \text{BPS} \]
This demonstrates that with a percentage of 2%, the basis points would be 200 BPS.