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continuous compounding

   Also found in: Legal, Wikipedia, Hutchinson 0.01 sec.
Continuous compounding
The process of accumulating the time value of money forward in time on a continuous, or instantaneous, basis. Interest is earned constantly, and at each instant, the interest that accrues immediately begins earning interest on itself.

continuous compounding
Compounding of interest using the shortest possible interval of time. Although continuous compounding sounds impressive, in practice it results in virtually the same effective yield as daily compounding.


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For instance, if the annual rate of discount is 11 percent, its continuous compounding equivalent is 10.
Turnkey, custom-engineered batch or continuous compounding lines can be provided complete with upstream and downstream support equipment and customized automation.
A similar set of experiments was conducted with the continuous compounding operation of twin screw extrusion.
 
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