Compound Growth and Decay: Understanding the Formula and Real-World Applications

The video tutorial explains compound growth and decay, using real-world examples like interest, bacteria growth, and depreciation. It introduces the formula for calculating compound interest and demonstrates its application through examples. The tutorial also covers the iterative method for growth calculation and how to rearrange the formula to find initial investments.

What is the general formula for calculating compound growth and decay?

What is the significance of using 1 plus or minus the rate in the compound growth formula?

How can you rearrange the formula for compound interest to find the initial investment?