PreCalc 1 (3.1) Exponential Functions Part B

Описание: Exponential functions have various applications, including compound interest formulas, which will be discussed using the base e, a fundamental concept in mathematics
00:08.


The number e is an irrational number, approximately equal to 2.718, and is used as the base for natural exponential functions, which appear in many scientific and mathematical applications
00:42.


Compound interest formulas are used to calculate the future value of an investment or the amount owed on a loan, with two main formulas: one for compounding at regular intervals and another for continuous compounding
03:49.


The calculation of the total cost for a four-year degree at a state school and a private school is discussed, with assumptions including an interest rate of 0.07 and a repayment period of 25 years
17:54.


The average cost per year for a state school is assumed to be around $11,000, while for a private school it is around $35,000, resulting in total costs of $44,000 and $140,000 respectively
18:50.


Using the compound interest formula, the total cost for the state school is calculated to be around $253,202.52, and for the private school around $805,644.37, highlighting a significant difference in costs
21:46.