Simple & Compound Interest
Hello again everyone, I shall post my working below the question as always. Thank you all once again for your time and help - all is greatly appreciated!
Q1: A man deposits £1000 ever half year into a pension fund earning 6% interest per annum, compounded half yearly. Deposits are made at the start of each half year. How much will the fund be worth at the end of 7.5 years after the initial deposit?
Working Sn=a(1-r^n/1-r) so S15=1000*1.03(-0.56/-0.03) which = 1030 (18.6) = 19226.6?
Comment on ebaines's post
Thanks for the reply :)
I tried your answer and it's still not showing as correct :S
I'm more confused than ever! :(