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Re: Almost finished - my first calculator!

  • To: mathgroup at smc.vnet.net
  • Subject: [mg101172] Re: Almost finished - my first calculator!
  • From: magma <maderri2 at gmail.com>
  • Date: Fri, 26 Jun 2009 06:47:34 -0400 (EDT)
  • References: <h1sv1m$m4p$1@smc.vnet.net>

Hi Lobby,
nice calculator!
Ah, the beauty of compounding!
I always feel richer after doing these calculations, don't you? :-)

I haven't checked your algo in detail, but if you put
Initial dep. 10000 $
Growth 0.05
Years 1
and everything else 0

you get at the end: 10512.7 $ Accumulated amount!
Uhm...some people recently got in trouble with this kind of creative
accounting.
Anyway, could you please wire the virtual 12.7 $ into my virtual
Cayman account? :-)

I am not sure I understand why inflation should influence your
accumulated amount.
Inflation will determine the purchasing power of that amount, but not
its nominal value.
(perhaps you are making some specialized calculation of some specific
financial instrument, but if so, this does not transpire from the
labels).

hth



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