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Formula for Calculating Interest in a Bank

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					Lesson: Calculating Growth Over Time

Vocabulary:
Sensitivity Relative Rate of Growth

Materials:
Calculator
Laptops
Pencil and Paper
Bank Cards

Objective:
TLW calculate a $100 dollar investment over 100 years at varying interest rates.
Interest Rate Cards are 2% 2.5% 5% 5.5%. Use the formula
Pnext=Pcurrent+r*Pcurrent
Outcome:
TLW base an argument over why a half percent interest rate is significant.

Warm-Up Activity:
Place 6 Skittles into the pizza box, shake up the box, each Skittle that show an S, add
another Skittle. Continue for 20 times. Be sure to make a T table and record your
information.

Activity:
1. Place the four interest rate cards on the table. Each student selects an interest card
   and calculates their investment over 100 years using pencil and paper.
2. Using the same formula, enter the formula into the calculator and check to see if your
   numbers are matching.
3. Using the spreadsheet, enter the formula into the calculator and check to see if your
   numbers match the paper and calculator.

Assignment:
Work with a partner to figure the final statement for problem 1 on sheet A6.9

				
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