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2024-12-14 09:09:00

Step 1: Review the formula of compound interest final value.F&=(1 + 0.01)^{240}\\


\begin{align*}If it rises by 1% or 2% every day, how much will it increase in 240 trading days a year?Step 1: Review the formula of compound interest final value.


In the context of compound interest growth, if the initial value is set to P, the growth rate of each period is R, and the formula for calculating the final value F after N periods is F = P (1+R) N. In this topic, we mainly pay attention to the increase multiple, so we can regard the initial value as 1, where the growth rate of each trading day is r = 1\% = 0.01, and the number of periods passed is n = 240 trading days.The following is to calculate the increase of 240 trading days according to the daily increase of 2%, and calculate it through the calculator, 1.02 {240} \ approximate 115.8887.

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