learn.howToCalculate
learn.whatIsHeading
Compound interest earns returns on both the initial principal and previously accumulated interest. This creates exponential growth. Simple interest, by contrast, only grows on the original principal.
دليل خطوة بخطوة
- 1A = P(1 + r/n)^(nt) for periodic compounding
- 2A = Pe^(rt) for continuous compounding
- 3Rule of 72: years to double ≈ 72 ÷ annual rate %
أمثلة محلولة
الإدخال
$1,000 at 5%, 10 yrs (annual)
النتيجة
$1,628.89
Interest: $628.89
الإدخال
$1,000 at 5%, 10 yrs (monthly)
النتيجة
$1,647.01
$18 more from monthly compounding