Compound Growth Calculator
Calculate compound growth over time. Model population growth, investment returns, or any exponential increase.
Final Val
1,628.89
Formula
## Compound Growth ### Formula **Final = Initial × (1 + r)^n** where r is the growth rate per period and n is the number of periods. ### Rule of 72 To estimate doubling time: **Periods ≈ 72 / rate(%)** At 6% growth, doubling takes approximately 72/6 = 12 periods.
Esempio Risolto
1000 growing at 5% per year for 10 years.
- 01Final = 1000 × (1.05)^10
- 02= 1000 × 1.6289
- 03= 1628.89
- 04Total gain = 628.89
- 05Doubling time ≈ 72/5 = 14.4 years
Domande Frequenti
What is compound growth?
Compound growth means that growth applies not just to the original amount, but also to all previously accumulated growth. Each period's gain builds on the previous total.
What is the Rule of 72?
The Rule of 72 is a quick way to estimate doubling time: divide 72 by the growth rate percentage. At 8% growth, doubling takes about 72/8 = 9 periods.
How does compound growth differ from simple growth?
Simple growth applies the rate to the original amount each period (linear). Compound growth applies it to the current total (exponential), so it accelerates over time.
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