C program to calculate Compound Interest

Categories C programming 2 mins read

Write a C program to input principle (amount), time and rate (P, T, R) and find Compound Interest. How to calculate compound interest in C programming. Logic to calculate compound interest in C program.

Example
Input

Enter principle (amount): 1200
Enter time: 2
Enter rate: 5.4

Output

Compound Interest = 1333.099243

Required knowledge

Arithmetic operators, Operator precedence and associativity, Data types, Basic input/output

Compound Interest formula

Formula to calculate compound interest annually is given by.

Compound Interest formula (anually)

Where,
P is principle amount
R is the rate and
T is the time span

Logic to calculate compound interest

Step by step descriptive logic to find compound interest.

  1. Input principle amount. Store it in some variable say principle.
  2. Input time in some variable say time.
  3. Input rate in some variable say rate.
  4. Calculate compound interest using formula, CI = principle * pow((1 + rate / 100), time).
  5. Finally, print the resultant value of CI.

Read more – Program to find power of a number

Program to calculate compound interest

/**
 * C program to calculate Compound Interest
 */

#include <stdio.h>
#include <math.h>

int main()
{
    float principle, rate, time, CI;

    /* Input principle, time and rate */
    printf("Enter principle (amount): ");
    scanf("%f", &principle);

    printf("Enter time: ");
    scanf("%f", &time);

    printf("Enter rate: ");
    scanf("%f", &rate);

    /* Calculate compound interest */
    CI = principle* (pow((1 + rate / 100), time));

    /* Print the resultant CI */
    printf("Compound Interest = %f", CI);

    return 0;
}
 

Output

 
 
 
Enter principle (amount): 1200
Enter time: 2
Enter rate: 5.4
Compound Interest = 1333.099243

Happy coding 😉