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Math Definitions - Letter C


Chapters

Compound Interest

Definition of Compound Interest

Compound Interest is interest that is calculated both on the original amount invested, and on the interest that has previously been earned.

Interest may be compounded, annually, or more often such as monthly or daily.

First, the interest for the first period is calculated. This is added to the total investment, and then the interest for the next period is calculated on the total of the amount invested and the interest already earned. This continuous as shown in the diagram below.

Definition of Compound Interest

Description

The aim of this dictionary is to provide definitions to common mathematical terms. Students learn a new math skill every week at school, sometimes just before they start a new skill, if they want to look at what a specific term means, this is where this dictionary will become handy and a go-to guide for a student.



Audience

Year 1 to Year 12 students

Learning Objectives

Learn common math terms starting with letter C

Author: Subject Coach
Added on: 6th Feb 2018

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