Assume a three-bit ADC (eight quantizing levels). We desire to design a compounding system consisting of both

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Assume a three-bit ADC (eight quantizing levels). We desire to design a compounding system consisting of both a compressor and ex-pander. Assuming that the input signal is a sinusoid, design the compressor such that the sinusoid falls into each quantizing level with equal probability. Implement the compressor using a MATLAB program, and verify the compressor design. Complete the com-pander by designing an ex-pander such that the cascade combination of the compressor and ex-pander has the desired linear characteristic. Using a MATLAB program, verify the overall design.

Compounding
Compounding is the process in which an asset's earnings, from either capital gains or interest, are reinvested to generate additional earnings over time. This growth, calculated using exponential functions, occurs because the investment will...
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