Which is larger
(1.01)1000000 or 10000?
Solution follows here:
Solution:
This is a straight forward question on Binomial expansion.
(x+y)n = nC0 xn y0 + nC1 xn-1
y1 + nC2 xn-2 y2 + . + ncn x0 yn
(1.01)1000000
= (1000000)C0 + (1000000)C1 (0.01)1 + (1000000)C2 (0.01)2 +…. + (0.01) 1000000
= (1000000)C0 + (1000000)C1 (0.01)1 + (1000000)C2 (0.01)2 +…. + (0.01) 1000000
= 1 + (1000000)(0.01) + …..
= 1+ 10000 + …
> 10000
Hence
(1.01)1000000 is greater than 10000
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