Algebra and Polynomial Expression
Financial Polynomials
Tabitha Teasley
Math 221: Introduction to Algebra
Regina Cochran
March 22, 2014
There are many times in our life that we need to buy something big and expensive. In order to
afford or buy these item, such as cars, trucks, and houses, we need to invest or save our money over
time for that particular goal. Knowing how much money we need to begin with initially for an
investment and how much money we need to save additionally can help us to achieve that goal.
Polynomials can help you to know how much you need to start with and how much you need to save.
In this paper I will demonstrate how to use polynomials in two problems and I will simplify a
polynomial expression, so you will know how to use this in your life to solve financial problems like
this. Because polynomials can help you achieve those monetary goal you desire.
On page 304, problem #90 states: “P dollars is invested at annual interest rate r for 1 year. If
the interest is compounded semiannually, then the polynomial P(1+r/2)^2 represents the value of
investment after 1 year “ (Dugopolski, 2012). The first part requires the polynomial expression to be
rewritten without parenthesis. This mean FOIL or to multiply First, Outer, Inner, Last, the binomial
(1+r)^2 and then multiply all terms by P.
P(1+r)^2 The original expression with the exponent only with the binomial.
P(1+r)(1+r) The squared quantity multiplies itself.
P(1+r+r+r^2) This is the expression after Foil is carried out.
P(1+2r+r^2) I combined the like terms.
P+2Pr+Pr^2 The P is distributed across the trinomial.
Notice, that this polynomial is not in descending order of the variable r. It is in ascending order with
the highest exponent in the last term instead of the first term. This expression solution for the variable
can not be found unless it
Tabitha Teasley
Math 221: Introduction to Algebra
Regina Cochran
March 22, 2014
There are many times in our life that we need to buy something big and expensive. In order to
afford or buy these item, such as cars, trucks, and houses, we need to invest or save our money over
time for that particular goal. Knowing how much money we need to begin with initially for an
investment and how much money we need to save additionally can help us to achieve that goal.
Polynomials can help you to know how much you need to start with and how much you need to save.
In this paper I will demonstrate how to use polynomials in two problems and I will simplify a
polynomial expression, so you will know how to use this in your life to solve financial problems like
this. Because polynomials can help you achieve those monetary goal you desire.
On page 304, problem #90 states: “P dollars is invested at annual interest rate r for 1 year. If
the interest is compounded semiannually, then the polynomial P(1+r/2)^2 represents the value of
investment after 1 year “ (Dugopolski, 2012). The first part requires the polynomial expression to be
rewritten without parenthesis. This mean FOIL or to multiply First, Outer, Inner, Last, the binomial
(1+r)^2 and then multiply all terms by P.
P(1+r)^2 The original expression with the exponent only with the binomial.
P(1+r)(1+r) The squared quantity multiplies itself.
P(1+r+r+r^2) This is the expression after Foil is carried out.
P(1+2r+r^2) I combined the like terms.
P+2Pr+Pr^2 The P is distributed across the trinomial.
Notice, that this polynomial is not in descending order of the variable r. It is in ascending order with
the highest exponent in the last term instead of the first term. This expression solution for the variable
can not be found unless it