Feldblum WC Ratemaking, Page 23 of Text

[Ruby]

Feldblum WC Ratemaking, Page 23, Last paragraph, 4th line:

“Final Audit ratio” of 10% is given in the example, but from where the “Growth Rate” of 11% per annum came? I think it has been calculated from the given data in example, but how?

Many thanks

[jk]

In the previous paragraph, he offers an example where 1991 written premium per month was $900,000, versus $1 million per month in 1992. The growth from $900k to $1 million equals 11.11%.