‘Simple ater Compu net, Anny Capital Cast, An Cst
Depron, Depletion, cul Reser, Property Vauton or pail, Pape
‘ot Amounting Cost Aounting, Bea-even Acad, nim Cast Az, Pubic
Exon Inflation i Defto, isk and Uaceaay,
Interest and Discount
Interest
‘Tae amcunt of money eared forthe ue of barowed cap called
borrower's pint of ie, nests the aroun of mane a forthe capitate
“Thee are woe finest mpl terest and ompoand interes
‘Simple Interest
Insinple interest nl the igi prina bears interest andthe interest top
se dell th ine
‘efor ose ters gen by
Pamir
‘Whe snp ners dary rca) me pcf anypr, eanad
year = ent
0 days (all montis)
year = 60 days‘ein 5 rons ro 65d rap on ap ear en
{Sem of eran dad rina een ery oa 8
isthe number of days, then
t= EE cecontiary year
Incompoun inter thine ured bythe pop a ten ach interest
eso (compouning peri) aedto he a The un incl itera)
onsite $10 fvetedin an acu 20% peer fr sens The gars eo
shows th contrat ete simple inert and compo interes
‘hep eans interest whieh $100 per eae.
na
Ato ompund yey the 6100 ta ivestmet amount Sagar
‘ears The neat aera an iret
pring pena it
inure te permanant
Peoratir @ F=P(s
‘The tor (1467 Sealed seg payment compound trl dente
by
egtac 71 taste se-trh aa tiy
Ps)
rin)
nro tp empnning ei,
‘our im megion The manger tae fa
ump
+ Compound anna n= 1)
na i5)=5
226)
S192 400
nam)
santos
+ compl i= 12)
9/12 ame
+ Compound met
9=96)=30
6008
+ mn nym = 280)
= 2a) ~ 190
18/300 = 0.000
Coninvous Compounding m=)
Incwtir cpg the ater fit priory spans
Pa (4 2)”
PP oa
Pig ont
mean, ey"