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what is the formula of principal in compound interest. Formula to calculate Principal amount from compound interest Here is the formula for finding the compound interest P A 1 rn nt P principal amount initial investment. Roi The annual rate of interest for the amount borrowed or deposited.
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Let the principal be P. Compound interest total amount of principal and interest in future or future value less principal amount at present or present value P 1. T The number of times the interest compounds yearly.
T The number of times the interest compounds yearly.
Compound interest is the addition of interest to the principal sum of a loan or depositCompound interest is calculated based on the principal interest rate and the time period involved. For a 4 rate use 004 n The number of compounding periods. Compound interest formulas to find principal interest rates or final investment value including continuous compounding A Pert. A P 1 r n nt A the amount of money accumulated after n years including interest P the principal amount your initial deposit or your initial.
