The equation for continual growth or decay is A Pe rt where A is the ending amount P is the beginning amount principal in the case of money r is the growth or decay rate expressed as a decimal and t is the time in whatever unit was used on the growthdecay rate. The compound interest formula is P 1in - P where P is the principal i is the annual interest rate and n is the number of periods. T is the total number of years.
Where A is the ending amount P is the beginning amount or principal r is the interest rate expressed as a decimal n is the number of compoundings a year and t is the total number of years.
One very important exponential equation is the compound -interest formula. We know that the formula for compound interest in general is A P 1 r n n t Where r represents the interest rate n represents the number of times compounded per year and t represents the time elapsed. Where A is amount. Compound Interest Compound interest is a type of word problem that involves something that we all can relate to - MONEY MONEY MONEY.