Tag: Simple Interest and Compound Interest

Difference between Simple Interest and Compound Interest

Simple Interest vs. Compound Interest Interest is the price of borrowing money, where the borrower pays a charge to the lender for the loan. The interest sometimes expressed as a percentage could be both simple or compounded. Simple interest is based on the principal amount of a loan or deposit. Simple Interest and Compound Interest In contrast, compound interest is based on the principal amount and the interest that accumulates…