document.write( "Question 869067: A bank account with principal p earns interest rate r (expressed as a decimal) compounded annually. What is the ratio of the balance after 3 year to the balance after 1 year? Write r as a decimal. \n" ); document.write( "

Algebra.Com's Answer #524011 by josgarithmetic(39617) $\"\"$ $\"About$

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Balance is $\"p%281%2Br%29%5Et\"$ for time t in years.\r
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\n" ); document.write( "\n" ); document.write( "t=1, $\"p%281%2Br%29%5E1\"$ .
\n" ); document.write( "t=3, $\"p%281%2Br%29%5E3\"$ .
\n" ); document.write( "You would expect to use r as a decimal as you say.\r
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\n" ); document.write( "\n" ); document.write( "The ratio of balances is $\"%28p%281%2Br%29%5E3%29%2F%28p%281%2Br%29%5E1%29=highlight%28%281%2Br%29%5E2%29\"$ .
\n" ); document.write( "Do you have a known value of the ratio?
\n" ); document.write( "If you know for some constant, k, that $\"%281%2Br%29%5E2=k\"$ , then you have $\"%281%2Br%29%5E2-k=0%7D%7D.%0D%0A%7B%7B%7B%281%2Br%29%5E2=k\"$
\n" ); document.write( " $\"1%2Br=sqrt%28k%29\"$
\n" ); document.write( " $\"highlight%28r=-1%2Bsqrt%28k%29%29\"$ \n" ); document.write( "

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