Compounded monthly growth rate formula excel
CAGR can be thought of as the growth rate that goes from the beginning investment value up to the ending investment value where you assume that the investment has been compounding over the time period. In this tutorial, you will learn how to calculate the Average Annual Growth Rate and Compound Annual Growth Rate in Excel. Compound Annual Growth Rate (CAGR) CAGR stands for Compound Annual Growth Rate. CAGR is the year-over-year average growth rate over a period of time. In other words, CAGR represents what the return would have been assuming a constant growth rate over the period. In actuality, the growth rate should vary from year to year. The CAGR Formula