Example: stock market
1 Proofs by Induction - Cornell University
Proceeding as before, but replacing inequalities with equalities, we have fn+1 = fn +fn 1 = r n2 +r 3 = rn 3(r +1) = rn 3r2 = rn 1; where we used the induction hypothesis to go from the rst line to the second, and we used the property of r that r2 = r+1 to go from the third line to the fourth. The last line is exactly the statement of P(n+1).
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