Enter the present value, future value, and number of years an asset of investment has been growing into the calculator below to determine the growth rate in % per year.

## Growth Rate Percent Formula

The following formula is used by the calculator above to determine the growth rate in percent of a value over time.

*x*(*t*) = *x*_{0} × (1 + *r*)^{ t}

Where r is the growth rate in percent. This equation can further be simplified to the following:

r = (*x*(*t*) – *x*_{0})^^{ 1/t} – 1

- Were X(t) is the final value
- X0 is the initial value
- t is time in years

How to calculate a growth rate percent

**First, determine the initial final values**This will be the values at time t=0.

**Next, measure the time elapsed.**After the time has passed, measure the final value.

**Finally, calculate the growth rate percent.**Enter the values from step 1 and 2 into the formula to calculate the growth rate percent.

## FAQ

**What is a growth rate percent?**

A growth rate percent is percentage increase of an exponential function. That is the rate increase of a value over each unit of time.

**Can growth rate percent be negative?**

Absolutely, a negative growth rate equation will yield values that approach 0 but never reach it.

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