- Let Principal = P, Rate = R% per annum, Time = n years.
- When interest is compound Annually:
Amount = P 
1 + R 
n 100 - When interest is compounded Half-yearly:
Amount = P 
1 + (R/2) 
2n 100 - When interest is compounded Quarterly:
Amount = P 
1 + (R/4) 
4n 100 - When interest is compounded Annually but time is in fraction, say 3
years.Amount = P 
1 + R 
3 x 
1 +
R
100 100 - When Rates are different for different years, say R1%, R2%, R3% for 1st, 2nd and 3rd year respectively.
Then, Amount = P 
1 + R1 

1 + R2 

1 + R3 
. 100 100 100 - Present worth of Rs. x due n years hence is given by:
Present Worth = x . 
1 + R 
100
Sunday, October 1, 2017
Compound Interest Formulas
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