year 1= profit = $ -1000 (i.e basically loss)
Year 2= profit = $ 100

now while calculating growth rate ( (final - initial)/initial)
we will get - 110% growth but this is not the case.
how this happened.
and what is the solution

Question

year 1= profit = $ -1000 (i.e basically loss)
Year 2= profit = $ 100

now while calculating growth rate ( (final - initial)/initial)
we will get  - 110% growth but this is not the case.
how this happened.
 and what is the solution

owlfred · Answer

Hoot! You just asked your first question! Hang tight while I find people to answer it for you. You can thank people who give you good answers by clicking the 'Good Answer' button on the right!

anonymous · Answer

Well what's your initial? we don't know how much you have in the beginnign

anonymous · Answer

we have to find growth for year 2
and we have initial 4 it i.e. -1000