Compound Interest Calculator

compound interest formula  Types of Interest · Simple interest is calculated on the principal, or original, amount of a loan · Compound interest is calculated on the principal amount and 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

Apply the Annual Compound Interest Formula Simple interest only earns a fixed amount of interest based on the original principal amount On the other hand, Compound interest is calculated by multiplying the initial principal amount by one plus the annual interest rate multiplied by the number of compound periods

The EFFECT function returns the compounded interest rate based on the annual interest rate and the number of compounding periods per year The formula to Compound Interest · Calculate the Interest · Add the Interest to the Loan at Start to get the Loan at End of the year · The