What is the difference between compound interest and simple interest ?
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here let's take an example we studied that money borrowed or deposited for a given time period in a bank post office or money leader
is called principle and the extra money paid or received at the end of time period is called simple interest the interest calculated in this manner is called simple interest
let us consider the example solved as already calculated at the end of 1st yearl1 =1000rs
amount a to be prepared by Mohan at the end of 2 yearsl2=2100
1000+2100=12,100
interest calculated in this manner is called compound interest
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is called principle and the extra money paid or received at the end of time period is called simple interest the interest calculated in this manner is called simple interest
let us consider the example solved as already calculated at the end of 1st yearl1 =1000rs
amount a to be prepared by Mohan at the end of 2 yearsl2=2100
1000+2100=12,100
interest calculated in this manner is called compound interest
hey friend if my answer is helpful to you consider brain l i e s t and you may follow me for any sort of help
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