Simple and compound interest


Simple interest

SI = P*R*T/100

P= principal amount
R = rate/unit
T = time/year month day etc.

Compound interest

CI = P(1+\frac{R}{100})^n
P= principal amount
R= rate/unit
T= time unit

Where rate are difference for different unit or time.

Than C.I = p(1+\frac{R1}{100}) (1+\frac{R2}{100}) (1+\frac{R3}{100}) ……….

Present worth of Rs x lac in year hence is given by present worth=
\frac{x}{(1+\frac{r}{100})^n}