Cagr=+(l13/f13)^(0.1666667)-1
 

Can anyone explain how the formula works and what the ^ means in this
formula.


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Donovan
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Cagr=+(l13/f13)^(0.1666667)-1
 

It divides the contents of L13 by contents of F13 and raises the result to
the power of 0.166667 [which equates to finding the 6th root of the division]
and then subtracts 1.

^ means to the power of i.e 2^4 = 2*2*2*2

HTH

"Donovan" wrote:


Can anyone explain how the formula works and what the ^ means in this
formula.


--
Donovan
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Cagr=+(l13/f13)^(0.1666667)-1
 

I would expect the formula is calculating Compound Average Growth Rate. If so,
L13 would be the earnings, F13 is the amount invested, and 0.1666667 is the term
(ie, 1/6 of a year or two months).

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Regards,
Fred


"Donovan" wrote in
message ...

Can anyone explain how the formula works and what the ^ means in this
formula.


--
Donovan
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http://www.excelforum.com/member.php...o&userid=35234
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