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Hello,
I have about 70 entries each with 5 years of data. I am trying to project out the next 5 years. I would need a compounded annual growth rate for each. How can I do this?
Thanks,
Max
Hello,
I have about 70 entries each with 5 years of data. I am trying to project out the next 5 years. I would need a compounded annual growth rate for each. How can I do this?
Thanks,
Max
Basically for now, I want the percent annual %increase/decrease based on a 5 year average using compounded annual growth rates
I don't know financial functions very well, so I will need to defer to your financial expertise. My first thought is to ask if this is an IRR() or XIRR() type problem? https://support.office.com/en-us/art...__toc309306711 If so, then you can use the IRR() or XIRR() functions to get the growth rate, then I would expect that you can use the FV() function to extrapolate into the future.
Originally Posted by shg
So we determined that we could probably use an IRR formula here to determine the CAGR, however some years the number is positive and some is negative so errors are returned in the formula
As I indicated, I am not familiar with these financial calculations. I see nothing in the given equation (NPV=sum((values/(1+IRR)^i)) that specifically says that IRR cannot be negative. Can you provide an example of a data set that returns an error for the IRR function?
Being unfamiliar with the mathematics of CAGR, I put "how to calculate cagr" into Yahoo, and got several hits (including some Javascript calculators). This page looks interesting: http://investexcel.net/how-to-calcul...rate-in-excel/ They talk about using the XIRR function, as well as other formulations for calculating CAGR.
Last edited by MrShorty; 03-30-2016 at 04:10 PM.
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