How to calculate growth rate

How to calculate growth rate

Mahtab Alam
0

 To calculate the growth rate, you can use the following formula:


calculate,growth rate

Growth Rate = ((Ending Value - Beginning Value) / Beginning Value) * 100

Here's a breakdown of the formula:

  1. Subtract the Beginning Value from the Ending Value to find the change in value.
  2. Divide the change in value by the Beginning Value to get the relative change.
  3. Multiply the relative change by 100 to express it as a percentage.

For example, if you have an investment that starts with $1,000 and grows to $1,200 over a year, you can calculate the growth rate as:

((1,200 - 1,000) / 1,000) * 100 = (200 / 1,000) * 100 = 20%

So, the growth rate in this case is 20%

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