Good morning, I am professor Matt and we are going to talk about the number "e."
e is about 2.7182818284590452353602874713527 and it goes on forever.
e is the base of all natural logs.
e is mainly used for calculating compound interest or other things that need to be compounded at a higher and higher rate.
e is calculated by (1+1/n)^n.
Here are some of the calculations done out and as you can see they get closer and closer to "e"
1 2.00000 2 2.25000 5 2.48832 10 2.59374 100 2.70481 1,000 2.71692 10,000 2.71815 100,000 2.71827
Why don't you try some of your own? What would happen if you invested 10,000 at an interest rate of 5% compounded continuously for five years, use e!
The equation is A=Pe^rt
When you calculate it it comes out to 12,840.25, I hope everyone got it right.
Looks great, I like the simplicity
ReplyDeletehi, matt,
ReplyDeletepretty good post. i like how you showed some calculations for "e." a little more explanation of the compound interest formula would have added a bit more but pretty good.
professor little