COMPOUND INTEREST CACULATOR : PYTHON PROGRAMMING

If the principal is P and the rate of compound interest is r% per annum and the interest is compounded k times in a year, then the amount after n years is given by the formula

If k = 1, the interest is payable yearly, for k =2 the interest is payable half-yearly and for k=4 the interest is payable quarterly. Below is the program which uses above formula to calculate the final amount.

PYTHON CODE

principal = float(input("Enter the principal value:"))

rateOfInterest = float(input("Enter the rate of interest:"))

numberOfMonths = int((input("Enter the period in months:")))

frequency =int(input("Enter the number of times the the interest is compunded (yearly=1, half-yearly=2, quarterly =4,..):"))

finalAmount = 0.0

finalAmount += principal*(1+(rateOfInterest/frequency)/100)**(frequency*(numberOfMonths/12))

print("The final amount is", round(finalAmount,2))