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How do you FOIL P(1+r/2)^2
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(1+r/2)^2 (1+r/2)(1+r/2) First Outer Inner Last
(P)(1+r/2)(1+r/2)
Since the denominator is the same, you only FOIL the numerator. I believe the problem looks like this: (1+r)^2/2^2 (which is just 4 for the denominator. Since the bottom is obviously just 4, and the top is just (1+r)(1+r), perform the FOIL method as usual, and you should get r^2+2r+1/4. To test this, chose an arbitrary number and plug into both the original problem and your answer to see you get the same results. I chose 3 and got 4 for both. Hope this helps!
is that 1 divided by 4?
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