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Known Facts :
Sales For 1st year = 7230
Sales for 10th year =32259
Above numbers are in Mil
Historical growth rate for above period was 0.18077
by using formula
((32259/7230)^(1/9))-1=0.18077

Question is finding sales value 5 years in future?

I estimate it is around 54000!

I think formula would be close but I do not know how to find XX?

((XX/32259)^(1/4))-1 = 0.18077739

I used 4 for years as that was number of year from the end of the 10th year to the end of the 15th year.

Thanks for your help!
Bob

2007-10-28 20:13:30 · 2 answers · asked by Robert L 1 in Business & Finance Investing

2 answers

You need a crystal ball that isn't cracked.

2007-10-28 20:18:20 · answer #1 · answered by shipwreck 7 · 0 0

XX = (0.18077739 + 1)^(4)*32259
= 62708.1

2007-10-29 03:20:15 · answer #2 · answered by days_o_work 4 · 0 0

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