Let j be the compound interest rate for the t-year period from time s to time s + t, and let d; be the corresponding rate of discount for that time period. Show that d; (b) j = 1 - dj j (a) dj = 1+j

Algebra & Trigonometry with Analytic Geometry
13th Edition
ISBN:9781133382119
Author:Swokowski
Publisher:Swokowski
Chapter2: Equations And Inequalities
Section2.1: Equations
Problem 70E
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Let j be the compound interest rate for the t-year period from time s to time s + t, and let d; be the
corresponding rate of discount for that time period. Show that
j
(a) d;
dj
(b) j =
- dj
1 -
1+j
Transcribed Image Text:Let j be the compound interest rate for the t-year period from time s to time s + t, and let d; be the corresponding rate of discount for that time period. Show that j (a) d; dj (b) j = - dj 1 - 1+j
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