# Thread: compound interest, without using formula's

1. ## compound interest, without using formula's

Suppose we have 100$to invest and the annual interest rate is 10%. Work out DIRECTLY (in other words don't use some formula you found somewhere unless you derive it from scratch) how much money you have after one year if a) the interest is compounded monthly b) the interest is compounded daily c) the interest is compounded hourly. -No idea how to do this without formula's. Can someone please help? 2. Ok so..$100 at 10% interest per month, would look something like this
100 X 12(0.1)= The answer would be how much money you would have earned. For weeks replace12 with 52 and for days replace 52 with 365, if you are calculating per year. Hope that helps.