Why does my formula keep returning a zero?

[sccrsurfer]

Im trying to do a simple CAGR formula and for some reason I keep getting a 0, when I know it's wrong. Is there something wrong with my formula? The two cell references are whole numbers and both are positive. When I hit enter, it comes up as a zero. Note: I even tried to enter it as an array ctrl+shift+enter, and I still got a zero. Please help! Thanks!

=(('Key Financials'!B3/'Key Financials'!D3)^(1/2))-1

 

[Joe4]

Welcome to the Board!

I have no idea what a "CAGR formula" is, but I am pretty good at Math and Excel.

Can you let us know the following:
- What is the value in cell B3?
- What is the value in cell D3?
- What is your expected result?

 

[p45cal]

formula seems all right.
Are you sure that the values in B3 and D3 are not equal?
The result of dividing one by the other would be 1, the square root of which is 1, minus 1 is zero.

 

[sccrsurfer]

Welcome to the Board!

I have no idea what a "CAGR formula" is, but I am pretty good at Math and Excel.

Can you let us know the following:
- What is the value in cell B3?
- What is the value in cell D3?
- What is your expected result?

Thanks for replying.

CAGR = Constant Annual Growth Rate

B3=32218000
D3=41923036

The result should be 0.123356684582718 aka 12%

 

[sccrsurfer]

formula seems all right.
Are you sure that the values in B3 and D3 are not equal?
The result of dividing one by the other would be 1, the square root of which is 1, minus 1 is zero.

Is there a setting in Excel that might be causing it to return a 0? Perhaps not following orders of op? Idk, just throwing it out there.

 

[Enuflogic]

Is the cell you're expecting this answer in formatted to have decimals or formatted to be %?

 

[shg]

Format the cell with the formula as General or Percent.

 

[Joe4]

It returns -0.1234 for me.
Are you sure you haven't formatted your cell to return zero decimal points?
Try increasing the number of decimal points the cell with your formula returns.

 

[sccrsurfer]

Is the cell you're expecting this answer in formatted to have decimals or formatted to be %?

As a percentage.

To explain the ^1/2, its because I'm calculating three years constant annual growth starting with the end of the period, hence 1/2 instead of 1/3, just fyi if that helps anyone. Could be that my math is messed up.

 

[sccrsurfer]

It returns -0.1234 for me.
Are you sure you haven't formatted your cell to return zero decimal points?
Try increasing the number of decimal points the cell with your formula returns.

That did it! Thanks. To think it was a decimal problem. Excel is one evil mistress. Thanks guys!