Quote of the Day: 
"St. Augustine had good insight on the division of 
     labor between God and his children when he wrote that 
     we should work as if everything depended on our 
     efforts and pray as if everything depended on the 
     Almighty."

Objectives:
The student will apply the definition of e to compound 
   interest.
The student will compute the number of years for an 
   investment to double.
The student will compute the amount of an investment given 
    the principal, rate and length of the investment.

1. Go over homework and collect it.

2. Discuss Compound Interest.

    Let R = Interest Rate per period
    Let P = Principal.
    Let n = number of periods

3. Examples:

4. To Compute Effective Annual Yield
     Use one of the compound interest formulas.
     Find the amount of an investment of $1 for 1 year
     and then subtract the dollar.

     Examples: Compute the E.A.Y. for the following:
          4% compounded continuously:     E.A.Y. = .040810
          4 1/8% compounded quarterly:    E.A.Y. = .04189
          4 1/4% compounded semiannually: E.A.Y. = .04295

5. Worksheet on Rule of 72
         

6. Quiz on Logs

7. Assignment:    
     Worksheet on Rule of 72
     Review Sheets for Mini Examination #2

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