Compound interest with yearly additions?

I'm trying to find the formula for a situation in which I have an initial investment. However then I add extra money every year and compound it. Please also list what each variable means. Thanks

is the principal (the initial amount you borrow or deposit)

r is the annual rate of interest (percentage)

n is the number of years the amount is deposited or borrowed for.

A is the amount of money accumulated after n years, including interest.

When the interest is compounded once a year:

A = P(1 + r)n

However, if you borrow for 5 years the formula will look like:

A = P(1 + r)5

This formula applies to both money invested and money borrowed.

Frequent Compounding of Interest:

What if interest is paid more frequently?
Here are a few examples of the formula:

Annually = P 脳 (1 + r) = (annual compounding)

Quarterly = P (1 + r/4)4 = (quarterly compounding)

Monthly = P (1 + r/12)12 = (monthly compounding)

Tags

　　Online Business 　　Offshore Investment 　　Mutual Fund 　　Money Market Funds 　　Money Investment 　　Managed Fund 　　Make Money 　　Low Risk Investment 　　Long Term Investment

Related information

Im 20 years old. Should I get a house and rent a room out? Or should I live at home for free and.......?

Why not buy the house and rent out all the rooms? Also remember the #1 way of becoming a millionaire in the USA is real estate, this is because most people say they will save and invest their money...

Would you welcome a definite, lifetime salary of $47,000 per year (revised yearly for inflation) if?

That's about $24.50 an hour [based on an average 40 hr work week]. Considering I've worked in some pretty decent jobs, and never made above $18/hr... and had to bust my butt to make that...

Does any one tried this online job? if yes. please tell me your suggestions?

I have a lot of sites that pay you in my blog: ...

MBA program....the key to fortune?

I won't say that it is the key to fortune. The key to fortune lies in that person himself and what field he'll be at. Some industries or field, would require creativity to be successful...

How can I find a website with legitimate?

Would love to share what I do from home. I am giving you my web site ...

What are the best, most reliable and up-to-date real estate books?

hi silver ,, im trilok from india ... nice meetin u ......!!! yah abt real estate now .. i found a book its cool just see whether u like it its " how to make big money in real estate in th...

Can I get a loan to purchase my car, home, and other investments simultaneously with one loan?

You have $100,000 saved and you don't have a car? First, a home is purchased with a mortgage. Cars are not. Investments are not purchases - they are investments. And you already have $100,000...

How much tax does Uncle Sam take from a single man?

No way to say. It depends upon other income, the source of the income, deductions and adjustments to income, etc. If you paid nothing in you'd owe, not get anything back. There is no &...