CAT Exam > CAT Videos > Crash Course for XAT > Simple & Compound Interest
Simple & Compound Interest Video Lecture | Crash Course for XAT - CAT
|
300 videos|235 docs|24 tests
|
FAQs on Simple & Compound Interest Video Lecture - Crash Course for XAT - CAT
| 1. What is the difference between simple interest and compound interest? |  |
Ans. Simple interest is calculated only on the original principal amount, while compound interest is calculated on both the principal amount and any accumulated interest. In simple interest, the interest remains constant throughout the entire duration, while in compound interest, the interest is added to the principal at regular intervals, leading to a higher total interest amount.
| 2. How can I calculate simple interest? | |
Ans. To calculate simple interest, you need to know the principal amount, the interest rate, and the time period. The formula for calculating simple interest is: Simple Interest = (Principal * Rate * Time) / 100. You multiply the principal amount by the interest rate and the time period, and then divide the result by 100.
| 3. How can I calculate compound interest? | |
Ans. To calculate compound interest, you need to know the principal amount, the interest rate, the compounding frequency, and the time period. The formula for calculating compound interest is: Compound Interest = Principal * (1 + Rate/100)^(Time) - Principal. You raise the sum of 1 and the interest rate divided by 100 to the power of the time period, and then multiply it by the principal amount.
| 4. Which type of interest is more beneficial, simple interest or compound interest? | |
Ans. Compound interest is generally more beneficial compared to simple interest. This is because compound interest allows the interest to accumulate over time, leading to a higher total interest amount. On the other hand, simple interest only calculates interest on the principal amount, which results in a lower overall interest earned.
| 5. Can compound interest be negative? | |
Ans. No, compound interest cannot be negative. Compound interest is always positive as it represents the growth of an investment over time. However, if the principal amount is negative, then the compound interest calculation may result in a negative total amount.
Related Exams
About this Video
|
4.98/5 Rating |
|
Nov 18, 2024 Last updated |
Video Description: Simple & Compound Interest for CAT 2024 is part of Crash Course for XAT preparation.
The notes and questions for Simple & Compound Interest have been prepared according to the CAT exam syllabus.
Information about Simple & Compound Interest covers all important topics for CAT 2024 Exam.
Find important definitions, questions, notes, meanings, examples, exercises and tests below for Simple & Compound Interest.
Introduction of Simple & Compound Interest in English is available as part of our Crash Course for XAT for CAT & Simple & Compound Interest in
Hindi for Crash Course for XAT course. Download more important topics related with notes, lectures and mock test series for
CAT Exam by signing up for free.
Description
Video Lecture & Questions for Simple & Compound Interest Video Lecture | Crash Course for XAT - CAT - CAT full syllabus preparation | Free video for CAT exam to prepare for Crash Course for XAT.
Information about Simple & Compound Interest
Here you can find the meaning of Simple & Compound Interest defined & explained in the simplest way possible.
Besides explaining types of Simple & Compound Interest theory, EduRev gives you an ample number of questions to practice Simple & Compound Interest tests,
examples and also practice CAT tests.
|
300 videos|235 docs|24 tests
|
|
Explore Courses for CAT exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
Related Searches
video lectures
,Objective type Questions
,Exam
,Summary
,Simple & Compound Interest Video Lecture | Crash Course for XAT - CAT
,study material
,Viva Questions
,Simple & Compound Interest Video Lecture | Crash Course for XAT - CAT
,ppt
,past year papers
,Extra Questions
,Important questions
,Simple & Compound Interest Video Lecture | Crash Course for XAT - CAT
,practice quizzes
,Previous Year Questions with Solutions
,mock tests for examination
,Semester Notes
,MCQs
,shortcuts and tricks
,Free
,Sample Paper
;
Study Simple & Compound Interest on the App
Students of CAT can study Simple & Compound Interest alongwith tests & analysis from the EduRev app,
which will help them while preparing for their exam. Apart from the Simple & Compound Interest,
students can also utilize the EduRev App for other study materials such as previous year question papers, syllabus, important questions, etc.
The EduRev App will make your learning easier as you can access it from anywhere you want.
The content of Simple & Compound Interest is prepared as per the latest CAT syllabus.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup