How Do We Handle a Situation When Both Compounding Period

question 30

Essay

How do we handle a situation when both compounding period and cash flow interval are given to us but both are less than a year and not equal to each other?

---

Definitions:

Knowledge

Knowledge or expertise acquired through education or experience.

Fundamental

Serving as an essential component or basis; foundational.

Hypothesis

A proposed explanation made on the basis of limited evidence as a starting point for further investigation, often testable by experimentation.

Explanandum

Rephrased: The subject or occurrence that an explanation is attempting to account for in research or analysis.