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This video demonstrates the fixed point iteration method to solve equations numerically. An example equation provided is cosine X minus X times e to power X. The process involves rearranging the equation to isolate X, with one method being to transpose the negative x times e to the X and divide through by e to the X. The expression x equals cos x over e to the X is obtained. Fixed point iteration involves using an initial estimate for X and calculating new estimates using a specific expression. Unlike the bisection method, only a single estimate for X is needed to generate new values.