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Compound interest calculator
Compound Interest is calculated on the initial payment and also on the interest of previous periods.
Example: Suppose you give \$100 to a bank which pays you 10% compound interest at the end of every year. After one year you will have \$100 + 10% = \$110, and after two years you will have \$110 + 10% = \$121.
Click here to view some problem which can be solved by using this calculator.
Compound Interest Problems
This is a list of the example problems which can be solved by using this calculator.
Problems with unknown interest and amount
Example 1: What will a deposit of \$4,500 at 7% compounded yearly interest be worth if left in the bank for 9 years?
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Example 2: What will a deposit of $3,500 at 10% compounded monthly be worth if left in the bank for 8 years?
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Problems with unknown principal
Example 3: How much money would you need to deposit today at 8% annual interest compounded monthly to have \$1200 in the account after 12 years?
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Example 4: Find the present value of \$1,000 to be received at the end of 2 years at a 12% nominal annual interest rate compounded quarterly.
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Problems with unknown interest rate
Example 5: What annual interest rate is implied if you lend someone $1,700 and are repaid $1,910 in two years?
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Example 6: Suppose that a savings account is compounded monthly with a principal of \$1350. After 8 months, the amount increased to \$1424. What was the per annum interest rate?
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Example with unknown time period
Example 7: How long does it take for \$4,300 to grow into \$2,720 at 9% compounded quarterly?
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