Question

difference between a simple and compound interest


Pls answer bcoz my project plz

Answer 1

Simple interest is based on the principal amount of a loan or deposit, while compound interest is based on the principal amount and the interest that accumulates on it in every period. Since simple interest is calculated only on the principal amount of a loan or deposit, it's easier to determine than compound interest

Answer 2

Simple interest adds the interest on the principal given whereas the C.I calculates the interest by adding up interest and principal and this amount becomes the new principal