1. Investment and Compound interest

2. a) If Tanisha has $ 100 to invest
at 8% per annum compounded monthly, how long will it be before she has 150?
b) If the compounding is continuous,
how long will it be?

3. INVEST : In finance, an investment is a monetary asset purchased with the idea that the asset will provide income in the future or appreciate and be sold at a higher price.
COMPOUNDING : The ability of an asset to generate earnings that are then reinvested and generate their own earnings
CONTINUOUS COMPOUNDING : the process of earning interest on top of interest. The interest is earned constantly, and immediately begins earning interest on itself

4. NOTE 100 dollars to invest At a rate of 8%
100 at 8% = st month
108 X 0.08 = = total on 2nd month
How long before she has 150?

5. FORMULAS TO USE When the interest is compounded n times a year:
A = P ( 1 + r/n )nt
Continuous Compounding:
A = Pert
P = principal (initial amount you borrow or invest)
r = annual interest rate (given in percentage use it as a
decimal)
t = number of years
A = amount accumulated after time t