In this Java example code we will calculate the compound interest with given principal, annual interest rate, unit and time period values.
Compound Interest = P (1 + R/n) (nt) – P
P — the principal investment amount (the initial deposit or loan amount)
r — the annual interest rate (decimal)
n — the number of times that interest is compounded per unit t
t — the time the money is invested or borrowed for
Java method to calculate compound interest with given P, t, r and n values.
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public double getCompoundInterest(int p, int t, double r, int n) { double amount = p * Math.pow(1 + (r / n), n * t); double compundInterest = amount - p; return compundInterest; } |