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Exponential and Logarithmic Growth · Weeks 10-18

Compound Interest and Continuous Compounding

Students will calculate compound interest and understand the concept of continuous compounding using the formula A=Pe^rt.

Key Questions

  1. Explain how the frequency of compounding affects the total amount of interest earned.
  2. Compare discrete compounding to continuous compounding and their respective formulas.
  3. Justify the use of the natural exponential function for continuous growth models.

Common Core State Standards

CCSS.Math.Content.HSF.LE.A.4CCSS.Math.Content.HSA.CED.A.2
Grade: 11th Grade
Subject: Mathematics
Unit: Exponential and Logarithmic Growth
Period: Weeks 10-18

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