POWER Function in Excel: Raise to a Power (and Growth Rates)

⏱ 1 min readUpdated 28 September 2026

MathLevel: IntermediateAvailable in: Excel 2007+

In this article
  1. Syntax
  2. Examples
  3. Example 1
  4. Example 2
  5. Related functions

POWER raises a number to a power; the ^ operator does the same. Its most useful business job is CAGR.

Syntax

=POWER(number, power)
Argument What it means
power Exponent; 0.5 is a square root.

Examples

Example 1

=POWER(C2/B2, 1/5)-1

CAGR: growth from B2 to C2 over 5 years.

Example 2

=A2*(1+8%)^10

Value of A2 after 10 years at 8%.

SQRT · RRI · FV

📚 Part of the free Excel course: Beginner → Expert · Try it in the Formula Lab or ask the AI Helper.

✨ Ask AI about this article

Stuck on a step? Ask a question and the AI answers using this article.

Free · AI can be wrong