QBASIC Programs to calculate Simple and Compound Interest

Simple Interest (S.I)

• Simple interest is the interest that is computed on the original principal only.

• If ‘I’ denote the interest on a principal ‘P’ at an interest rate of ‘R’ per year for ‘T’ years, then we have

             I=P.R.T

• The accumulated amount ‘A’, the sum of the principal and interest after ‘T’ years is given by

              A= P+I=P+ P.R.T=P(1 +R.T)

Formulas for Simple Interest

Compound Interest

When the interest at the end of a specified period is added to the principal and the interest for the next period is calculated on this aggregate amount, it is called compound interest.

Formula for compound Interest

Programs

• Input amount, rate, time and display principal.

• Input simple interest, rate, time and display principal.

• Write a program to find out the simple Interest.

• Write a program to find out the simple Interest and the Amount.