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A comment on If you want to transform IT, start with finance. Parent comment
I once had to spend a day convincing a CFO that consecutive months of ~X% increases of MRR wasn't the same as
((($MONTHS * X) +1) * MRR)
eg. two months of 10% = +20% increase, 5 months = +50%, etc.
... which is how his spreadsheet was calculating revenue projections.
How does a CFO not understand compound interest?
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I once had to spend a day convincing a CFO that consecutive months of ~X% increases of MRR wasn't the same as
((($MONTHS * X) +1) * MRR)
eg. two months of 10% = +20% increase, 5 months = +50%, etc.
... which is how his spreadsheet was calculating revenue projections.
How does a CFO not understand compound interest?