The Theory of Finance, Being a Short Treatise On the Doctrine of Interest And Annuities-Certain ...

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occurs instead of a in the denominator. From it p= -0023699 and i= -0323699 Formula D is the same as formula B, except that al occurs instead of a in the second term of the denominator. From it p= -0024249 and »•= -0324249 Applying formula E by means of Table 4, at the end of the volume, we have A = -005, because the part of the table to be used sjives annuity-values at intervals of one-half per cent, in the rate of interest.
A A2 ffi=:19-60044 fl,= 1839205 «3= 17-29203 — 120S39 -1-10002 -F -10
...837 -«,= --60044; JA'-i- -05419; A- iA2= —1-20258.
CHAP. II.] On Anmiities- Certain.
45 „„^f 126258 5419 ) -' 005 p=00o|-^ S- wlienee and 60044 126258 ) p= -0024273 i= -0324273 20599 ■ By formula F, changing the signs as in this case both numerator and denominator are negative, p = -005 1-20839 --05419 (1-20839)^ -60044 •05419 and = 0024271 2=-0:S24271 The true value of i, correct to seven places of decimals, is ■0324252. Collecting together for comparison the results of the various formulas, we have By formula A, i= B, *•= C, i= E, «■= 0325732 0324130 0323699 0324249 0324273 0324271 errors +1480 -=-10' = - 122 = - 553 = + 21 = + 19 54.


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