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Interest Theory Richard C. Penney Purdue University

Interest Theory Richard C. Penney Purdue University

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mathematical theory of interest, if we say that an account earns compound interest at a rate i, we are implicitly stating that we use formula (2) for partial periods as well: Definition 2. An quantity grows at a rate icompound interest if the amount at time tis given by (3) A(t)=(1+i)tP

  Interest, Theory, Of interest theory, Interest theory

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