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The excessive frequency of compounding is generally continuous compounding where the interest is compounded immediately. The data for continuous compounding for one year is eAPR here e is 2.71828 that is the base of the natural logarithm. So the future value of an amount which is compounded for n years is:
FV = PV x ekn
Here k is annual percentage rate and ekn is the compound factor.
How to treat them both which affect the trial balance and which dont affect the trial balance
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what are five modern financialaccounting techniques
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