Math & Statistics

What Is an Exponent?

An exponent shows how many times a number, called the base, is multiplied by itself. In 2⁵, the base is 2 and the exponent is 5, so 2⁵ = 2 × 2 × 2 × 2 × 2 = 32. Exponents are also called powers.

Key Rules

aᵐ × aⁿ = aᵐ⁺ⁿ; (aᵐ)ⁿ = aᵐⁿ; a⁰ = 1 for any non-zero a; and a⁻ⁿ = 1 ÷ aⁿ.

Exponents in Finance

Compound interest uses exponents: a balance grows as principal × (1 + rate)^periods.

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🔗 Related Terms

Exponential Growth Logarithm Square Root Scientific Notation

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Last updated: September 29, 2026. This definition is for general educational purposes only. It is not financial, investment, tax, legal, or medical advice, and it does not recommend any product or course of action. For decisions about your own situation, consult a qualified professional.