Compound Interest

compound interest formula  COMPOUND INTEREST Bank deposits, over time This formula can be proved for all of the If One Fixes The Nominal Interest Rate And The Total Time The Account Compound interest is “interest-on-interest”, or the ability of a financial instrument to generate earnings on its earnings See the compound interest

What is Compound Interest? · I = Interest amount This is the extra amount that is added to the original · P = Principal amount This is the original amount  Derivation Let us consider the principle as “P” and rate of interest as “R” At the end of first compounding period, the simple interest on principal is P*r

The monthly compound interest formula is used to find the compound interest per month The formula of monthly compound interest is: CI = P(1 + )12t Aptitude :: Compound Interest · Let Principal = P, Rate = R% per annum, Time = n years · When interest is compound Annually: · When interest is compounded Half-