Math Is Fun Forum

MathsIsFun

Administrator

Registered: 2005-01-21

Posts: 7,713

Introduction to Interest

Just made an introductory page on Interest:

Introduction to Interest

It is supposed to be a gentle introduction to the subject ... but maybe it is a bit wordy or complicated?

I intend to discuss the formulas for compound interest on another page yet to be made.

Please comment and suggest

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"The physicists defer only to mathematicians, and the mathematicians defer only to God ..."  - Leon M. Lederman

MathsIsFun

Administrator

Registered: 2005-01-21

Posts: 7,713

Re: Introduction to Interest

By the way, I appreciate comments from younger members, too!

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"The physicists defer only to mathematicians, and the mathematicians defer only to God ..."  - Leon M. Lederman

Jai Ganesh

Administrator

Registered: 2005-06-28

Posts: 48,413

Re: Introduction to Interest

Nice introduction to the beginners!
The graphs and tables explain things much more effectively!
I rushed through the page, I don't think the explanation is wordy or complicated. The details have been put in a simple, logical sequence.
This page would be liked by those students too, who generally develop an aversion for Mathematics.
Good work, MathsIsFun!

PS:- A separate page on Compound Interest, Annuities etc. would just be the right thing!

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It appears to me that if one wants to make progress in mathematics, one should study the masters and not the pupils. - Niels Henrik Abel.

Nothing is better than reading and gaining more and more knowledge - Stephen William Hawking.

MathsIsFun

Administrator

Registered: 2005-01-21

Posts: 7,713

Re: Introduction to Interest

Thanks, Ganesh.

Would the example of the Chicken Business be better left out and introduced on another page, say "Loans for Business"?

And my comment at the start about Banks and monthly repayments, is that appropriate there?

I will hopefully get started on some more advanced pages soon. I would *like* to cover most of the subject - a very useful subject for people who will go into (or are already in) business, or need a loan .

I hope to give some real examples also ... so has anyone taken out a loan and would like to detail all the costs and terms for me? You could PM me and keep it anonymous.

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"The physicists defer only to mathematicians, and the mathematicians defer only to God ..."  - Leon M. Lederman

Devantè

Real Member

Registered: 2006-07-14

Posts: 6,400

Re: Introduction to Interest

Very good, MathsIsFun. It explains the aspects of interest and loaning, and it will prepare younger people for the life ahead.

Found this:

Compund Interest can work for you!

Location: Near bottom of page, just above table.

Also, where is says 'Interest Formulas' at the bottom of the page, you might want to 'move it over' a little bit, as it is a bit hard to read.

Overall, very good. Couldn't find any mistakes or spelling errors other than the one I pointed out. Well done.

MathsIsFun

Administrator

Registered: 2005-01-21

Posts: 7,713

Re: Introduction to Interest

Updated the page, plus I have now made:

Compound Interest

Compound Interest Derivations

Compound Interest - Periodic Compounding

Compound Interest Calculator

Quite a lot!

There is some repetition (such as how compounding works), as I like each page to be "self contained" with the reader only having to take side trips if they want to delve deeper.

Are they too long-winded, or too complicated? Opinions please.

Review, criticize, etc. as these are still drafts.

Thanks!

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"The physicists defer only to mathematicians, and the mathematicians defer only to God ..."  - Leon M. Lederman

Jai Ganesh

Administrator

Registered: 2005-06-28

Posts: 48,413

Re: Introduction to Interest

The derivation is interesting and enlightening!
The calculator works well.
The pages are neither wordy, nor complicated.
Probably, more information on compound ineterest paid continually and the relevance to the number e is missing! (From the mathematical point of view!)

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It appears to me that if one wants to make progress in mathematics, one should study the masters and not the pupils. - Niels Henrik Abel.

Nothing is better than reading and gaining more and more knowledge - Stephen William Hawking.

MathsIsFun

Administrator

Registered: 2005-01-21

Posts: 7,713

Re: Introduction to Interest

True ... the limit is actually tied up with the discovery of e I believe. I should probably write it up on the Compound Interest Derivations and the "e" page, too.

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"The physicists defer only to mathematicians, and the mathematicians defer only to God ..."  - Leon M. Lederman

espeon

Real Member

Registered: 2006-02-05

Posts: 2,586

Re: Introduction to Interest

Wow its very good! It's much more clear than how my mum tried  explaining it to me when i was 8 years old lol! CUTE CHICKIES!

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Presenting the Prinny dance.
Take this dood! Huh doood!!! HUH DOOOOD!?!? DOOD HUH!!!!!! DOOOOOOOOOOOOOOOOOOOOOOOOOD!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

MathsIsFun

Administrator

Registered: 2005-01-21

Posts: 7,713

Re: Introduction to Interest

Thanks, espeon! I like to know things like that.

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"The physicists defer only to mathematicians, and the mathematicians defer only to God ..."  - Leon M. Lederman

espeon

Real Member

Registered: 2006-02-05

Posts: 2,586

Re: Introduction to Interest

Was that sarcasm? Sorry today I'm going to be one of those depressed and sulking emo's...

IM BEING FORCED TO DO TABLE TENNIS!

Ok now that was a random comment.

I think the introduction was very useful, especially since the next day I was supposed to do a test on percentages and it had a few questions on interest based questions. I had to work out what percentage of interest ( A.K.A interest rate ) it was at per annual.

Thanks Rod

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Presenting the Prinny dance.
Take this dood! Huh doood!!! HUH DOOOOD!?!? DOOD HUH!!!!!! DOOOOOOOOOOOOOOOOOOOOOOOOOD!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!