Annualize

/ˈænjuəlaɪz/ verb

Definition

To convert data or figures into an annual rate or yearly equivalent for comparison purposes.

Etymology

From annual (Latin annualis 'yearly') + -ize (verb-forming suffix meaning 'to make or become'). Modern business term created to process financial data consistently.

Kelly Says

When economists say a quarterly growth rate is '4% annualized,' they're mathematically projecting what would happen if that rate continued for a full year—a clever trick for comparing short-term performance on the same scale.

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