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Compound Interest

Unit 8: Exponential Functions
Lesson 22 of 26

Objective: Students will be able to use repeated calculations and a recursive method to find the value of a bank account with a certain annual interest rate compounded more than once per year. Students will begin to develop a formula to find the value of this account after a certain number of years.

Big Idea: Develop the compound interest formula using scaffolds and prior knowledge about how to create exponential functions from data tables.

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