Calculadora de Crecimiento CompuestoFórmula

## How to Calculate Compound Annual Growth Rate

### Formula

**CAGR = (Final / Initial)^(1/n) - 1**

CAGR is the constant annual growth rate that would take the initial value to the final value over n periods. It smooths out volatility and gives a single rate that represents the equivalent steady growth. Multiply by 100 to express as a percentage.

Ejemplo Resuelto

An investment grows from $1,000 to $2,000 over 5 years.

  1. Growth factor = 2000 / 1000 = 2.0
  2. CAGR = 2.0^(1/5) - 1 = 2.0^0.2 - 1
  3. = 1.14870 - 1 = 0.14870
  4. CAGR = 14.87% per year
  5. Total return = 100%