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Thread: Math Help!

  1. #1
    "Oh, now he's a philosophizer" Baylorguy's Avatar
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    Math Help!

    Hi everyone -

    It has been ages since I did algebra and I am having a hard time solving for this. Can you please assist? I figured this should be easy since there are so many smarties that use the board.

    Formula:

    =ROE(b)/[1-ROE(b)]


    ROE = 0.18135

    (I am solving for b)

    If you wouldn't mind, please show me the step by step solution so I can remember how to do this! Thanks so much!

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    So you are basically writing an equation like this:

    ab/1-ab

    Where a is 0.18135 and you are solving for b. Right, "ROE" doesn't stand for anything specific or doesn't change the equation, it's only the set value that you said?

  3. #3
    instigator thez_yo's Avatar
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    a, b and c are numbers; x, y and z are variables.

    you have a*x = b*y / (1- b*y) [there a * x is what you're solving for to throw a random number in there in case you have one...]

    so (1 - b*y) * (a * x) = b * y

    a* x - (b* y) * (a * x) = b * y

    a * x = b * y + (b * y) * (a * x)

    a * x = (b * y) * (1 + a * x)

    hence a * x / (1 + a * x ) = b * y

    edit - oh i probably confused you - you're solving for y in my equation, so ax/[ROE(1+ax)]=b.

    You didn't mention - is it b = roe * b / (1 - roe * b)? Maybe I should have used your variables
    Last edited by thez_yo; 09-06-2011 at 07:13 PM.

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    "Oh, now he's a philosophizer" Baylorguy's Avatar
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    yes, ROE just stands for return on equity and is a set value of 0.18135. I am trying to solve for b, which is called an equity multiplier.

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    Wait a minute... Don't you need to make this expression into an equation to find b?

    Isn't it kind of like like try to solve the following for x?

    2x+6

    x could be anything in that expression, however if you make it into an actual equation, then you will have a set value for x, like this:

    2x+6=10 In this equation, x has to equal 2

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    Class 5 Nepenthes hoarder lance's Avatar
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    take out all the ROE symbols and plug in the decimal for ROE. .18135 X B would be .18135B/1-.18135 * (B)
    Minus, times by B in the bottom,and divide w/ calculator. I did algebra last year and am currently in Geometry.
    Hope this helps.

    Lance


    In addition to growing plants, I design and build RC planes powered by Tesla batteries. Check out my progress at www.chargedplanes.com

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    LeafKirby's Avatar
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    ... What is this, I don't even...

    Math help.
    Madness I say.

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    Quote Originally Posted by lance View Post
    take out all the ROE symbols and plug in the decimal for ROE. .18135 X B would be .18135B/1-.18135 * (B)
    Minus, times by B in the bottom,and divide w/ calculator. I did algebra last year and am currently in Geometry.
    Hope this helps.

    Lance
    That's what I did initially, but we don't have a value for b. I took Geometry last year, and am currently in Algebra 2. If you write the equation out, you will see that you need a value for b, or a value for the whole expression to equal. Without having a set value for the whole expression, you cannot find b as any single or specific value.

    Am I right? This is starting to confuse me

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