Simple And Compound Interest Notes. The interest calculated every year on original principal i e. Simple and compound interest simple and compound interest key notes updated on oct 2020 68622.
The interest calculated every year on original principal i e. The sum at the beginning of the first year. Important formula and equations principal.
The interest calculated every year on original principal i e.
While the total interest payable over the three year period of this loan is 1 576 25 unlike simple interest the interest amount is not the same for all three years because compound interest. Simple and compound interest simple and compound interest key notes updated on oct 2020 68622. It is denoted by si. The interest is added to the principal at the end of each period to arrive at the new principal for the next.
