Compound Interest
 

Worked example

Calculate the compound interest on £150 invested at a rate of 11% over 3 years.

Amount	=	P  x (  1  + R ) N 100
	=	150  x (  1  + 11 ) 3 100
	=	150  x 1.367631
	=	£205.14

Note that this is the total amount so,

Compound interest = £205.14 - £150 = £55.14