What is the compound interest formula and what does it mean

Learn about compound interest. Compound interest is an additional money added to an investment, deposit or a loan, calculated based on the principal and the accumulated interest. A compound interest can be compounded more than once a year. When calculating compound interest, we have to know the inital amount of investment, the number of years since the money was invested, the rate of interest and the number of times the investment is compounded in a year. #compoundinterest #exponentialfunctions