Simple Interest Calculator
Calculate the interest and total amount for your investments and loans using simple interest formula.
Simple Interest Calculator
Calculate the simple interest and total maturity amount for your investments and loans.
Simple Interest Formula
To calculate Total Maturity Amount Value:
The simple interest formula for the calculator which is utilized to compute the overall gains accumulated is represented as:
A = P(1 + rt)
here:
- A represents the Total accumulated Amount (principal + interest)
- P represents the Principal Amount
- r represents the Rate of Interest per year in decimal; r = R/100
- t represents the Time Period (months or years)
To calculate the Interest on the Investments and loans:
SI = P × R × T/100
In it, the variables represent the following –
- SI: Simple Interest
- R: Rate of interest
- T: Time
- P: Principal
This SI calculator uses this formula to help easily determine interest rates and gauge the increase in the value of the initial investment. Let's understand it with the help of an instance.
Example:
Mr. A has invested an amount of Rs. 15000 at an interest rate of 5% for almost 2 years.
So his SI will be calculated as:
SI = 15000 × 5 × 2/100 = Rs. 1500
The total amount would be:
Total Amount = 15000 + 1500 = Rs. 16500