How to Calculate Compound Interest?

1

• How to Calculate
• Compound Interest ?

2
What is Compound Interest?

• The interest calculated on the original principal
  plus the interest that is not paid for the
  previous periods is called as the compound
  interest.
• It is also known as compounding.
• The period of compounding differs (annually ,
  monthly,..)

3
Example

• Consider you borrow a sum of Rs. 5000 from a
  lendor for an interest of 10 for 4 years.
• For 1st year 5000 (10 / 100) 500
• For 2nd year 5500 (10 / 100) 550
• For 3rd year 6050 (10 / 100) 605
• For 4th year 6655 (10 / 100) 665.5
• Hence, After 4 years you have to pay (5000
  (500550605665.5) 5000 2320.5 Rs. 7320.5

4
Formula of Compound Interest and Total Amount
5
CI Calculator

• Find your CI and total amount to be paid for
• your principal money using online calculator.
• Enter the borrowed money, interest and
• compounding period into the calculator.
• Your CI and total amount to be paid will be
• yielded by the calculator.

6
CI Calculator
7

• Get Online Compound Interest Calculator
• _at_
• https//www.easycalculation.com/compound-interest.
  php
• Find more interesting and useful calculators at
• Easycalculation.com