Tuesday, July 29, 2008

Calculate Simple Interest and Calculate Compund Interest

How to Calculate Simple Interest

Formula:
Simple Interest = Principal Amount * Period Interest Rate * Number of periods

How to Calculate Compound Interest

Formula:
Compound Interest = Initial Deposit (1 + Interest Rate/Yearly Compound) nt

n = # of times per year interest in compounded
t = number of years invested

No comments:

Popular Accounting Problems

The information on this site is for informational purposes only and should not be used as a substitute for the professional advice of an accountant, tax advisor, attorney, or other professional.