Pronunciation: /ə.ˌkjuːm.jə.ˈleɪ.ʃən ˈfæk.tər/ Explain
Accumulation factor is the quantity
in the formula for
. i is the annual interest rate, n
is the number of compounding periods per year, P0 is the starting principle,
and m is the number of years. Accumulation factor
measures the rate at which principal grows.
- McAdams, David E.. All Math Words Dictionary, accumulation factor. 2nd Classroom edition 20150108-4799968. pg 10. Life is a Story Problem LLC. January 8, 2015. Buy the book
- McAdams, David E.. Interest. allmathwords.org. All Math Words Encyclopedia. Life is a Story Problem LLC. 6/18/2018. http://allmathwords.org/en/i/interest.html#compound.
- Troy Segal. Compound Interest. www.investopedia.com. Investopedia. 6/18/2018. https://www.investopedia.com/terms/c/compoundinterest.asp.
- Compound Interest Calculator. www.investor.gov. U.S Securities and Exchange Commission. 6/18/2018. https://www.investor.gov/additional-resources/free-financial-planning-tools/compound-interest-calculator.
Cite this article as:
McAdams, David E. Accumulation Factor. 4/11/2019. All Math Words Encyclopedia. Life is a Story Problem LLC. http://www.allmathwords.org/en/a/accumulationfactor.html.
4/11/2019: Changed equations and expressions to new format. (McAdams, David E.)
12/21/2018: Reviewed and corrected IPA pronunication. (McAdams, David E.)
6/12/2018: Removed broken links, updated license, implemented new markup. (McAdams, David E.)
6/26/2010: Initial version. (McAdams, David E.)