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Calculators » Finance » Compound Interest
Our online tools will provide quick answers to your calculation and conversion needs. On this page, you can calculate compound interest over a given period of time using different compounding frequencies viz., daily, monthly, quarterly, half-yearly and yearly.
You can solve for all four variables viz., A, P, t and r involved in compound interest calculation using this calculator.
Ex 1. What is the compound interest of 75000 at 7.9% per annum compounded annually in 5 years?
Ans. Accrued Amount: 109690.37, Total Interest: 34690.37
Ex 2. How much will I earn if I invest 1000 for 20 years at 8% interest rate compounded monthly?
Ans. Accrued Amount: 4926.8, Total Interest: 3926.8
Ex 3. In how many years will 10000 become 20000 at 10% interest rate compoundedy quarterly?
Ans. Solving for time period gives 7.02 year(s)
Ex 4. At what rate will 10000 become 20000 in 5 years with yearly compounding?
Ans. Solving for interest rate gives 14.87%
The formula for compound interest:
A = P(1+r/n)⌊nt⌋
A = Amount function
P = Principal amount (Initial Investment)
t = Total time in years
n = Number of compounding periods per year
r = Annual interest rate
⌊nt⌋ means that nt is rounded down to the nearest integer.
Compounding is a very powerful concept in financial planning. You can see it at work in your retirement fund and in any deposits in your bank account.