Finance Formulas

What is the formula for exponential growth?

What is the formula for exponential decay?

• Initial amount

• Rate of growth or decay

• Time

• End amount

Convert the percent to a decimal. Remember: move the decimal two places to the left!

3.5%=

• .35

• 3.5

• .035

• .0035

Convert the percent to a decimal:

27%=

• 2.7

• .27

• 270

• .027

Convert the percent to a decimal:

9%=

• .9

• 900

• .009

• .09

Name the formula:

y = a(1 + r)^t

• Exponential Growth

• Exponential Decay

• Compound Interest

• Continuously Compounded Interest

Name the formula:

y = a(1 - r)^t

• Exponential Growth

• Exponential Decay

• Compound Interest

• Continuously Compounded Interest

Twenty years ago, Mr. Davis purchased his home for $160,000. Since then, the value of the home has increased by 5% per year. How much is the home worth today?

• $176,783.29

• $424,527.63

• $57,357.75

• $532,041,076.80

A population of fish starts at 8,000 and decreases by 6% per year. What is the population of fish after 10 years?

• 14327
• 4309
• 839
• 7680