anonymous
  • anonymous
how do i calculate CAGR?
Mathematics
  • Stacey Warren - Expert brainly.com
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SOLVED
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schrodinger
  • schrodinger
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anonymous
  • anonymous
hi anyone here?
Tim
  • Tim
hi Phil!
Tim
  • Tim
Do you have an example or are you looking for a general explanation?

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anonymous
  • anonymous
not really, my teacher asked me
shadowfiend
  • shadowfiend
I think it can be calculated as the geometric mean of the decimal multiplier equivalents (i.e. +3% becomes 1.03 and -2% becomes 0.98) of the individual period-over-period changes in
shadowfiend
  • shadowfiend
in revenue, sorry.
heisenberg
  • heisenberg
I know it depends on a timespan and starting/ending values.
sid1729
  • sid1729
Suppose the number of years you want to calculate it over is n. The rate is the nth root of total annual growth rate
heisenberg
  • heisenberg
\[CAGR = \frac{V(t_n)}{V(t_0)}^\frac{1}{t_n - t_0} - 1\]
Tim
  • Tim
did you answer back? I hope you got the explanation to her in time :)
heisenberg
  • heisenberg
\[t_n - t_0\] represents the time span

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