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eBook The current value of a company is S24 million. Ir the value of the company six years ago was S9 million, what is the companys mean annual growth rate over the past six years (to 1 decimal)? 27.8 % Hide Feedback Incorrect Check My Work (2 remaining)I NEED HELP PLEASE

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Answer #1

Mean annual growth rate = compound annual growth rate

Compound annual growth rate = (Ending value / Beginning value)(1 / n) - 1

Here, Ending value = $24 million

         Beginning value = $9 million

        Number of years = n = 6

Mean Annual growth Rate = ( 24 / 9 )(1 / 6) - 1

                                      = 0.17759 or 17.759%

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