TABLE OF CONTENTS This chapter is an introduction to algebra and algebraic equations. A review of the basic arithmetic concepts is provided in Appendix A. It also introduces some financial functions that are used with Excel. Throughout this text, a left justified horizontal bar will denote the beginning of an example, and a right justified horizontal bar will denote the end of the example. These bars will not be shown whenever an example begins at the top of a page or at the bottom of a page. Also, when one example follows immediately after a previous example, the right justified bar will be omitted.
Algebra is the branch of mathematics in which letters of the alphabet represent numbers or a set of numbers. Equations are equalities that indicate how some quantities are related to others. For example, the equation
is a relation or formula that enables us to convert degrees Fahrenheit, F, to degrees Celsius, C . For instance, if the temperature is 77 F, the equivalent temperature in C is
We observe that the mathematical operation in parentheses, that is, the subtraction of 32 from 77, was performed first. This is because numbers within parentheses have precedence (priority) over other operations.
In algebra, the order of precedence, where 1 is the highest and 4 is the lowest, is as follows:
Quantities inside parentheses ()
Exponentiation
Multiplication and Division
Addition or Subtraction
Simplify the expression
Solution:
This expression is reduced in steps...
