---
title: "AFA.PAR.4: Business and Financial Formulas (Georgia Mathematics standard)"
code: AFA.PAR.4
cite_as: Georgia Standards of Excellence, Mathematics, AFA.PAR.4
subject: math
grades:
  - high-school
language: en
canonical_url: https://georgiahomeroom.org/standards/code/AFA.PAR.4
md_url: https://georgiahomeroom.org/standards/code/AFA.PAR.4.md
alternate_language_url: https://georgiahomeroom.org/es/standards/code/AFA.PAR.4.md
source_url: https://case.georgiastandards.org/ims/case/v1p1/CFDocuments/e9dd7229-3558-4df2-85c6-57b8938f6180
source_last_changed: 2024-10-09
data_built: 2026-09-18
publisher: Georgia Homeroom, a free public-interest project of Georgia Civic Data. Not affiliated with or endorsed by the Georgia Department of Education or any school district.
up: https://georgiahomeroom.org/standards/math/high-school.md
index: https://georgiahomeroom.org/standards/index.md
---

# AFA.PAR.4: Business and Financial Formulas

Explore, evaluate, and rearrange formulas applicable to business and financial contexts.

- Subject: Mathematics
- Appears in: High School, https://georgiahomeroom.org/standards/math/high-school.md

## Expectations

- **AFA.PAR.4.1**: Use and rearrange formulas applicable to real-world contexts.
- **AFA.PAR.4.2**: Investigate the impact of changing the value of the different variables in financial formulas to compare the resulting financial outcomes.
- **AFA.PAR.4.3**: Write algebraic formulas for use in spreadsheets and utilize technology to perform both iterate and formulaic calculations.
- **AFA.PAR.4.4**: Use the simple interest formula, I = Prt, and inverse operations to solve for specified variables in banking services applications and other interest problems.
- **AFA.PAR.4.5**: Demonstrate by iteration (both with technology and without) that the compounding process pays “interest on your interest.”
- **AFA.PAR.4.6**: Derive the compound interest formula, $A = P(1 + \frac{r}{t})^{nt}$, by using patterns and inductive reasoning, then compute compound interest with and without the formula.
- **AFA.PAR.4.7**: Explore the concept of limits of rational functions in discovering the compound continuous formula. Use technology to investigate and verify what happens as the number of compounds approaches infinity.
- **AFA.PAR.4.8**: Apply the natural base e in the continuous compounding formula, $A = Pe^{rt}$.
- **AFA.PAR.4.9**: Use the monthly payment formula to calculate payment amounts in a variety of circumstances.
- **AFA.PAR.4.10**: Utilize the monthly payment formula to assist in calculating the total interest paid (finance charge) when using credit. Compare the total of monthly payments to the original (cash) price.
- **AFA.PAR.4.11**: Interpret and use sigma notation.
- **AFA.PAR.4.12**: Explore and identify how the elements of the present value of a single deposit formula and the periodic deposit investment formula relate to the compound interest formula.
- **AFA.PAR.4.13**: Utilize the present and future value of a periodic investment formulas to make calculations regarding long-term investments and retirement planning.

## Georgia Milestones coverage

No Georgia Milestones blueprint cites this standard.

Source: Georgia Standards of Excellence, published by the Georgia Department of Education at case.georgiastandards.org.