formula of compound interest for class 8
Answers
Answer:
C.I = A- P
First u have find amount and then C.I.
A= P(1+R/100)raise to time.
HOPE THIS HELPS YOU......
Answer:
Compound interest is the interest calculated on the principal and the interest accumulated over the previous period. It is unlike simple interest where interest is not added to the principal while calculating the interest during the next period. Compound interest finds its usage in most of the transactions in the banking and finance sectors and also in other areas as well. Some of its applications are:
Increase or decrease in population.
The growth of bacteria.
Rise or depreciation in the value of an item.
Compound Interest Formula
The compound interest formula is given below:
Compound Interest = Amount – Principal
Where the amount is given by:
Compound Interest
Where,
A= amount
P= principal
R= rate of interest
n= number of years
It is to be noted that the above formula is the general formula for the number of times the principal is compounded in an year. If the amount is compounded annually, the amount is given as-
A=P(1+R100)t
Try out: Compound Interest Calculator
Let us get to know the values of Amount and Interest in case of Compound Interest for different years-
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