Etg Calculator
Formula
The formula for calculating the compound annual growth rate (CAGR) is: CAGR = (Ending Value / Beginning Value) ^ (1 / Number of Years) – 1 Where: – CAGR is the compound annual growth rate – Ending Value is the final value of the investment – Beginning Value is the initial value of the investment – Number of Years is the total number of years the investment was heldHow to Use
1. Enter the Ending Value and Beginning Value of your investment into the respective input fields. 2. Input the Number of Years the investment was held. 3. Click the “Calculate” button to determine the Compound Annual Growth Rate (CAGR). This calculator ensures a seamless and accurate calculation process.Example
Suppose you have an investment that began with $10,000 and grew to $20,000 over a period of 5 years. The calculation would be: CAGR = ($20,000 / $10,000) ^ (1 / 5) – 1 CAGR = 1.0 ^ 0.2 – 1 CAGR = 1.1487 – 1 CAGR = 0.1487 or 14.87%FAQs
What is the etg calculator used for?
The etg calculator is used to determine the Compound Annual Growth Rate (CAGR) of an investment over a specific period.
How is CAGR calculated?
CAGR is calculated by dividing the Ending Value by the Beginning Value, taking the result to the power of 1 divided by the Number of Years, and subtracting 1.
Can the etg calculator handle decimal values?
Yes, the etg calculator can handle decimal values for precise calculations.
Is the etg calculator free to use?
Yes, the etg calculator is a free online tool that can be accessed anytime for financial calculations.
Does the etg calculator provide accurate results?
Yes, the etg calculator ensures accurate results by following the standard CAGR calculation formula.
Can the etg calculator be used for personal finance analysis?
Absolutely, the etg calculator is perfect for analyzing personal investments and financial growth.