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CAGR Calculator

Calculate the Compound Annual Growth Rate of an investment.

Live Calculation

CAGR

20.11

%

Live Step-by-Step Calculation

# Given Values:
Initial Investment: 10000
Final Value: 25000
Number of Years: 5
# Formula:
CAGR = ((fv / pv)^(1/n) - 1) * 100
# Substitution:
CAGR = ((25000 / 10000)^(1/5) - 1) * 100
Final Answer: 20.1124 %

How it works

CAGR=(FVPV)1/n−1CAGR = \left(\frac{FV}{PV}\right)^{1/n} - 1

Biological Formula Standard

CAGR represents the mean annual growth rate of an investment over a specified period of time longer than one year. It is one of the most accurate ways to calculate and determine returns for anything that can rise or fall in value over time.

How it Works

CAGR=(FVPV)1/n−1CAGR = \left(\frac{FV}{PV}\right)^{1/n} - 1

CAGR represents the mean annual growth rate of an investment over a specified period of time longer than one year. It is one of the most accurate ways to calculate and determine returns for anything that can rise or fall in value over time.

AI Insight

Did you know? Consistent tracking of these metrics can help identify trends over time. Try adjusting the inputs to see how sensitive the result is to each variable.

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