Does anyone have any tricks for figuring out N while trying to figure out growth rates? For example. on the sample it was something like Sales for 2000 - 2007. N was 7 But I have seen questions in the CFA books where N would be 6 for almost the same question. Does anyone have criteria to follow? Thanks for your help!!!
If sales for example are 5.2, 5.6, 6.7, 7.8, 8.9 then there are 4 years of growth, although there 5 figures for sales. But only in 4 years you can see actual growth. Please tell me if this nails the problem. Alex.
Yea, I got that. You can only see 4 years of growth. So considering they have year 2000 sales, we are able to figure out 7 years of growth 00-01 01-02 02-03 03-04 04-05 05-06 06-07 But in your example above, what are the years?
I haven’t seen in CFA an example where this rule does not apply.
also pay attention to if it gives you a Jan 2000 number and a Dec 2007 number vs both Dec numbers
forumreader, in your example there are 8 years of growth? Alex.
yes, if the numbers are given for dates like that, it would be 8 yrs of growth