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1.01 1 0.01
5 5
1.0510100501
For 5th power of 1.1 consider 5th row of Pascal triangle 1 5 10 10 5 1. If forward carry to higher place (i.e
from right to left) it will become 1 6 1 0 5 1. Hence (1.1)^5 = 1.61051
(1+n)^3=1+3n+3n^2+n^3
1 6 0.01 12 0.0001 8(0.000001) 1.061208
For (1.04)^3
For (1.05)^3
01 then 3x5=15 then 3x5^2=75 then 1x5^3=125 01.1575(125) 01.157625 – forwarding carry
Powers of 1.06 Powers of 1.07 Powers of 1.08 Powers of 1.09
1st 1.06 1.07 1.08 1.09
2nd 1.1236 1.1449 1.1664 1.1881
3rd 1.191016 1.225043 1.259712 1.295029
If difference of 2-yearly simple and compound interest at same rate is 10% of 3-yearly simple interest at
that rate then interest rate = _______