Instructions

Assume, for example, a $10,000 investment with a 6 percent return that compounds quarterly to be held for three years.

Determine the number of compounds in the year. Since our example is quarterly, this number is 4. Divide this into the number derived in Step 2. Example. 06/4 = .015.

How to Calculate CAGR

References

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How To Calculate an Annualized Rate of Return

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