# Math. Simplify.

## Let's keep it easy, simple, and frank.

- have any questions? I won't do homeworks but I'll be considerate. /
- Want to add something? /
- RSS /
- Archive

### Formula for calculating compound interest

Where,

- A = final amount
- P = principal amount (initial investment)
- r = annual nominal interest rate (as a decimal)
- n = number of times the interest is compounded per year
- t = number of years

_________

Example usage: An amount of $1500.00 is deposited in a bank paying an annual interest rate of 4.3%, compounded quarterly. Find the balance after 6 years.

A. Using the formula above, with P = 1500, r = 4.3/100 = 0.043, n = 4, and t = 6:

So, the balance after 6 years is approximately $1,938.op.

← Older posts
Page 2 of 5
Newer posts →