Where mathematics meets the real world. This worksheet ties together two units into one – Geometric Series and the real-life application of Daily Compound Interest. In this worksheet, students experience how investing into an annuity is the same as a geometric series. They see that we can use the same formula that is used to calculate the sum of a geometric series for the future value of an annuity.
This skill is a life long skill that shows the real-life application of the topic of sequences and series in the financial world.
Students can also apply this knowledge to make calculations on mortgage and car payments.
Arithmetic Sequences, Arithmetic Series, Geometric Sequences, Geometric Series, Compound Interest, Future Value, Present Value, Annuities, Mortgage Repayments, Investments.