How to Calculate CAGR in Excel ➡️ SEE DESCRIPTION FOR ASSUMPTIONS

The investment was made on January 1, 2015 ($100,000) and we are calculating the ending investment on December 31, 2022 ($315,000). In other words, 8 full years.

Formula: CAGR = ( End Value / Beginning Value )^(1/n)-1

Beginning Value = the date of purchase

End Value = Value at the date of sale or measurement

n = number of years or periods

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[gojo]

what if the profit does not grow every year like in the video, if you have a negative profit for several years? Or if in the last year the profit is only 10% higher than in the first year, and in the third year the profit is 50% higher, then in the last year only 10% higher profit? then how to calculate CAGR?

[sajidsiddiqui]

As far as I know that your each calculation is absolutely fine but period of time should have 7yrs nd you taken 8yrs, , why??? Real and=17.81%