Continuously Compounded Interest
Channel: Andrew Misseldine
Date: 2020-11-11

In this video, we discuss what happens to the compounded interest formula if we allow the number of compounds to increase toward infinity. We discover the irrational number e and derive the continuously compounded interest formula.

This is lecture 37 (part 2/3) of the lecture series offered by Dr. Andrew Misseldine for the course Math 1050 - College Algebra at Southern Utah University. A transcript of this lecture can be found at Dr. Misseldine's website or through his Google Drive at: https://drive.google.com/file/d/1x6CHqyw0ztTojsPtAG0PxXayk9VF_UzN/view

This lecture is based upon general college algebra curriculum and not based upon an individual textbook. With that said, this lecture series is influenced by many great college algebra textbook on the market, namely Sullivan's, Stewart's, OpenStax's, McKeague's, Stitz-Zeager's, and many others. Please post any questions you might have below in the comment field and Dr. Misseldine (or other commenters) can answer them for you. Please also subscribe for further updates.