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Support · Stage 5 · Financial mathematics B

Support Use the compound interest formula to establish the depreciation formula S = V_0(1 - r)ⁿ where S = salvage value, V_0 = initial value of the asset, r = depreciation rate per time period and n = number of periods

Resources for the prerequisite content of this dot point: earlier-stage (or earlier sub-level) dot points in the same strand that students usually need first. Use these to fill gaps before or alongside the core lesson.

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Prerequisite dot points

Establish and use the formula I = Prn to find simple interest where I =simple interest, P =principal, r =interest rate per time period and n = number of time periods

Stage 5 · Financial mathematics A Draft mapping

Apply the simple interest formula to solve problems related to investing money at simple interest rates, both algebraically and graphically

Stage 5 · Financial mathematics A Draft mapping

Calculate net earnings after deductions and taxation

Stage 5 · Financial mathematics A Draft mapping

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