Technically, the midpoint is the most-relevant thing because it's what is calculated from the past HRR values. The cap and floor are calculated relative to the midpoint.
Under the changes to the CBA after COVID, to calculate the cap you first calculate the midpoint of the salary range:
- Take the final HRR value from 2 seasons prior (in this case, 2022-23).
- Divide that number in half to get the Players' share of HRR.
- Divide that number by the number of teams in the league to get the per-team share.
This gives you the midpoint for the salary range for the upcoming season. The cap is set to 115% of the midpoint and the floor is set to 85% of the midpoint.
Granted, currently, there is a limit to the amount the cap can increase year-over-year at 5% (although, this is slightly higher than 5%), so the formula doesn't really matter until the growth in the cap has caught up to the growth in revenue.