Compound Interest Formula

Compound Interest: Interest calculated on the initial principal and also on the accumulated interest of previous periods of a deposit or loan.

A = amount of money accumulated after n years, including interest.

P = principal amount (the initial amount you borrow or deposit)

r  = annual rate of interest (as a decimal)

t  = number of years the amount is deposited or borrowed for.

n  =  number of times the interest is compounded per year