Compound Growth Rate Calculator

How does MeasuredBets Compound Growth Rate Calculator work?

The formula to calculate compound growth rate can be derived from Compound Interest formula:

where:

• $A$ is the final amount
• $P$ is the original principal sum
• $r$ is the interest/growth rate
• $n$ is the compounding frequency
• $t$ is the number of periods

Solving for $r$ gives us the growth rate:

To calculate Cumulative Annual Growth Rate (CAGR), consider $t$ as the number of years and substitute $n = 1$.