Monday, October 27, 2008

Compound Interest

Today in class we discussed compound interest. Would anyone like to share their general formula?

If you were Adam, how would you want the bank to calculate your interest? Yearly? Quarterly? Daily? Instantly?

We then looked at the supplemental problem -- trying to figure out the percentage rate that will exactly double Adam's money in 20 years. How do we solve this?

Some classes got 3.526% by guess and check...How else could we solve this? Scroll down if you want to know.....

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