I'm trying to understand the investment math in the ERE book. Page 198, section: 7.3.2.
Could anyone help me understand this in plain English?
P1 = (P0-p) + i(P0-p) how does that equal to (P0-p)(1+i)?
I understand that:
P1 is the year 1 for the withdrawal.
i is the interest rate
P0 is the fund size
p is the withdrawal size