Statistics & Applications > Financial Math

Medium

applied

If CAGR stands for Compound Annual Growth Rate, F.V stands for final value of an investment, P.V stands for present value of an investment and n is the number of years then

$CAGR = \left(\frac{F.V}{P.V}\right)^{\frac1n} - 1$

$CAGR = \left(\frac{P.V}{F.V}\right)^{\frac1n} - 1$

$CAGR = \left(\frac{F.V}{P.V}\right)^n - 1$

$CAGR = \left(\frac{P.V}{F.V}\right)^n - 1$

✅ Correct Option: 1

Related questions:

2026: 18th May Shift 2

A car costing ₹ 5,00,000 has a useful life of 15 years. The estimated scrap value is ₹ 50,000. The annual depreciation using the straight line method is

2025: 22 May Shift 1

Which one of the following statement is incorrect about sinking fund?

2025: 15 May Shift 2

A person has invested Rs.20,000 in 2020 for 5 years. If CAGR for his investment is 11.84%. The end balance of his investment is (Given $(1.1184)^5 \approx 1.7498$ )

2026: 30th May Shift 1

An electric bike costs ₹42,000 and has a useful life of 10 years. If annual depriciation is ₹3,000, then the scrap value by using linear method of depriciation is:

2025: 27 May Shift 1

If an asset costs Rs. 50,000 with an estimated useful life of 6 years and a scrap value of Rs. 5000. Then by using a linear depreciation method, the annual depreciation of the asset will be:

2025: 2 June Shift 1

A machine costing Rs 50,000 has a useful life of 4 years.The estimated scrap value is Rs 10,000 . The rate of depreciation per annum is:

If CAGR stands for Compound Annual Growth Rate, F.V stands for final value of an investment, P.V stands for present value of an investment and n is the number of years then

Keyboard Shortcuts