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Measuring growth-how much did revenue increase using 12 months of
I've got a list of data representing monthly revenue. Overall, I can see the
trend is moving up. But I'd like to be able to say precisely how much revenue has increased over time. I looked at the GROWTH function, but thats for predicting a trend, not calculating a historical rate. When I plot the data on a column chart and use a Linear Regression Trendline I get a positive number R2 = 0.0404 (I'm sure tha's good but I can't explain why). The values are 6560, 5970, 6290, 6640, 5950, 5900, 5880, 5850, 7370, 6300, 6700, 6310. How do I intepret r-squared? Can I use r-squared to calculate an annual growth? Or should I skip that and use some other means of calculating growth? |
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