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how to find combined rate of increase for two different sets of geometric mean

9 years ago

Answers : (1)

879 Points

Dear student,

Geometric rate of growth refers to the event of successive changes in a population by a constant ratio. It can be calculated  annually, quarterly and monthly basis. Geometric growth refers to the compound growth over discrete.

Geometric rate is rate of growth rate applicable for the situation where successive changes in a population differ by a constant ratio. Geometric growth rates can be applicable to calculate annual growth rates, quarter-on-previous quarter growth rates or month-on-previous month growth rates. It also calculates compound interest in discrete period. For calculating payment and reinvestment of dividend geometric growth rate applies. In finance or economics mostly geometric rate applied to calculate the present or future value. 


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Askiitians Expert

Sagar Singh

B.Tech, IIT Delhi

9 years ago
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