Monthly/Yearly CAGR Calculator
Calculating the annual or monthly rate of Compound Annual Growth can be complex, so we have developed the tool to end the hard times you have in calculating this fact.
In this segment, we will tell you how you can use the monthly/yearly CAGR calculator in exact and extreme detail.
So come with us.
Monthly/yearly CAGR calculator: fields that you have to fill
In this section, we shall discuss the area you must fill to get the exact and proper result on the monthly/yearly CAGR calculator.
Before getting started, you have to know that the CAGR defines the gain and loss rate you would have after a specific period of investment time.
· Initial amount
The first field you have to fill for the tool is the initial amount; this means you have to put the base amount of the money you have invested or borrowed with interest.
For example, if you have invested the amount of $1000, you have to put that number in the first field of the tool.
· Final amount
This section will declare the money that you will receive at the end of the investment that you have made.
If you get $1500 as the final amount, you have to put that number in the second field of the tool.
Remember that the CAGR rate depends on the amounts and can tell you whether you have gained or lost from that investment.
· Number of periods
As you know, every investment has an expiration date, meaning that you invest that amount of money for a specific period.
For example, you can invest an asset for ten years, and then the number 10 will be the amount of this field you must fill in the form.
This tool section is a choicer box, meaning that the tool offers two options to be specific about the period you invest.
If your investment is annual, you must choose the year, and if it is monthly, you must select the month option in this tool section.
After completing the form, you can tap on the calculator option, and then the tool will present the final information and the rate based on the information you have offered in the form.
The formula for the monthly/yearly CAGR calculator is:
· CAGR = (X-final/X-beginning)1/t – 1
- X-Final = the final value of the asset
- X-beginning = the beginning asset that you have invested
- T = period in years
Now let’s cite an example for the tool to you to have a better understanding of the tool and how it works:
Imagine that you have invested the amount of $2500 in a project that you are relatively confident about, and at the end of the three years, you have received $3500.
Now let’s see what the result is:
· (3500/2500)1/3 – 1 = 11.87%
Remember that if the initial amount exceeds the final amount, the results will be negative; you have lost money on the investment.
Additional facts about the monthly/yearly CAGR calculator tool and its benefits
Before getting to the end of the article, we would like to tell you some interesting facts regarding the monthly/yearly CAGR calculator tool:
- You have to know that when you input the amounts in the monthly/yearly CAGR calculator tool, the tool will use the same formula to give you the result, and you don't have to do anything additional.
- The device we offer you today is liberated from all expenses, implying that you don't need to create a record or even purchase a membership when you use it. You can utilize it as long as possible, and there is no restriction on estimations.
- Despite most of the tools on the internet, the agency we have offered has decent security; in other words, the device will delete all of the information gathered from your cookies in the virtual world as soon as you leave the application.
- This apparatus will give you the procedure to compute your following speculation choices. In less complicated words utilizing this apparatus, you can break down your venture and gain from your defects and fix them for further speculations.
Good luck in your monthly/yearly CAGR calculator journey, and you can share your thoughts with us using the contact information on the website.
Frequently Asked Questions (FAQs)
The formula cited in this statement is the same tool used to calculate the CAGR.
And because this tool uses the same statics and logic, the answers you get are as accurate as the amounts you input
Unlike most of the web applications on the world wide web that store your cookies and information to offer them to other companies, our tool deletes all of the information regarding your visit to the website.
This means that you have never used this tool, and this app will not ask you for your info either.
There are two possible scenarios, either you have the website inputs wrong, or you are losing money on that investment; you have to double-check the parameters and then rerun the calculation. If the answer is the same, then you are losing money.