Thanks SoSick,
no, uh uh. Because as far as evolution is concerned, fallacy and error is part and parcel of the package.
But we are not talking evolution, just math, the simple math of exponential equations.
Seeing as you claim mathematical ability here, it seems to me that you should be able to tell the difference between
(1) N(t) = N(0)e^-?t
Where
N(t) = The amount of material at a particular time
N(0) = The initial amount of material.
t = The time expended
? = the decay rate, which is differs between materials
and
(2) A = P(1 + (r/n)}^{nt}
Where,
* P = principal amount (initial investment)
* r = annual nominal interest rate (as a decimal)
* n = number of times the interest is compounded per year
* t = number of years
* A = amount after time t
Or show how (1) and (2) can be equivalent.
Certainly understanding the last one is crucial to understanding your mortgage eh? So anyone getting a mortgage should also be literate in the math for this equation.
and I sat there watching that wondering why she was unable to read the mortgage papers herself.. and why she had to ask anyone if it was a fixed rate mortgage.. chances are excellent that neither she nor the person at the bank or mortgage company read the paperwork they signed. She probably dealt with some low level clerk as illiterate as herself.
But this is what happens when banks no longer actually hold the mortgages that they issue. Before de-regulation the banks held the mortgages where you signed them, and the people doing the work at the bank knew what they were selling.
It may have been a fixed rate for the first 5 years then turn to ARM (fairly common I believe), but yeah, people trusted the banks to be straight with them. That's what happens when you trust
authority instead of evidence.
Enjoy.
