EXPONENTIAL FUNCTIONS Evaluating (Page 5 of 5)

Some compound interest problems require you to evaluate an exponential function. For example, let's compute 450(1+0.035/4)^(4*10) and 450*e^(0.035*10). Both expressions assume a principle of $450 at 3.5% interest over ten years. In the first expression interest is compounded quarterly, in the second it is compounded continuously. Notice the need for parentheses around the products in the exponent position.

CLEAR key.

450 Left parenthesis key. 1 Plus key. 0.035 Divide key. 4 Right parenthesis key. Caret key. Left parenthesis key. 4
Multiply key. 10 Right parenthesis key. ENTER key.

Calculator screen image.
450 2nd e to the x key. 0.035 Multiply key. 10 Right parenthesis key. ENTER key. Calculator screen image.
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