compound Growth and decay

compound Growth and decay

1. Formula: N= N₀ x (multiplier)ⁿ

   • N is the amount after day/hours/years
   • N₀ is the initial amount
   • the multiplier is the percentage change, eg 5% is 1.05
   • ⁿ is the number of days/hours/years

2. Compound interest means that the intest is added on each time

3. to find the original sample, you divide the amount after days/hours/years by the (multiplier)ᵑ

4. a $6500 car depreciates by 9% anualy, how much will it cost after 3 years

   • 6500 x (0.91)³
     • $4898.21