What is compound interest?

Compound interest is interest calculated on the initial principal and also on accumulated interest over time.

What is compounding frequency?

Compounding frequency refers to how often interest is calculated per year, such as yearly, quarterly, or monthly.

Calculate compound interest and total amount using principal, interest rate, time, and compounding frequency.

📈 Tip: Compound interest grows faster than simple interest because interest is added to the principal.

Principal Amount

Annual Interest Rate (%)

Time (Years)

Compounding Frequency

A = P (1 + r/n)^nt

Principal = 10,000, Rate = 5%, Time = 3 years, Compounded yearly

Total Amount ≈ 11,576.25