Semmiannual compounding

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Semmiannual compounding is the arithmetic process of determining the final value of a cash flow or series of cash flows when interest is added twice a year.


Definitions

According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),

Semmiannual compounding. The arithmetic process of determining the final value of a cash flow or series of cash flows when interest is added twice a year.

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