You may like to read about Compound Interest first. You can skip straight down to Periodic Compounding. Quick Explanation of Compound Interest With Compound Interest, you work out the interest for the first period, add it to the total, and then calculate the interest for the next period, and so on ..., like this: But adding 10% interest is the same as multiplying by 1.10(explained here) Compound Interest - Periodic Compounding
Less Wrong: Top scoring articles I have been autodidacting quite a bit lately. You may have seen my reviews of books on the MIRI course list. I've been going for about ten weeks now. This post contains my notes about the experience thus far. Much of this may seem obvious, and would have seemed obvious if somebody had told me in advance. But nobody told me in advance.