Mathematics of Finance Guidelines
And now we use our formula for the sum of a geometric series, recognizing that . a = 100, r = (1.01)2, and n = 26 [Answer: $3371.59] Situation 2: The compounding frequency is less than the deposit frequency. Example: Tom deposits $200 in an account each month. The interest rate of the account is 6%/a compounded quarterly. ................
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