BUS 111 Lecture 1: BUS111_0005_10-05-15
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The formulas: in all of these, we have s= future value, p= present value, r= regular deposit/payment, i= rate as a decimal compounding periods per year, n= years compounding years in a year. S= p(1 + i)n *used when you deposit only once only make 1 payment. S= r(((1+i)n-1) i) *used for saving money whenever you make more than 1 deposit. P=r((1-(1+i)-n) i) *used whenever the regular payments are happening after spending some money. Checklist: how many deposits/payments am i making? a. b. If only one, go directly to compound interest.
