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Finishing capital = starting capital x (1 plus interest rate) to the power of the term.
EG 1000 units at 5% over 7 years = 1000 x (1.05 to the power 7)
Easiest way to do this is to use logarithms:
1000 x antilog (7 x log 1.05) = 1000 x antilog 0.1483251
= 1000 x 1.4071
= 1407.1 units
This compares with simple interest where finishing capital would be 1350 units.
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