Sign-up today to join over 5 million learners already on ALISON:

# Introduction to Simple and Compound Interest

Introduction to Simple and Compound Interest

Join 1,279 other students.

#### Course Description

Any person with a bank account, credit card or bank loan will come across aspects of simple interest and compound interest. However, many people have difficulty in distinguishing between the two types of interest and how they should be calculated. In this free online course you will learn why simple interest is called simple interest, how simple interest is used in daily life and how it is calculated. Compound interest, as the name implies, is a little more complicated but this course explains the concept clearly and covers the methods used for calculating compound interest. This course will be of great interest to all learners who are intimidated by financial concepts such as simple interest and compound interest, and would like to study a course that explains these concepts in a step-by-step and easy to follow manner.

#### Certification

To qualify for your official ALISON Diploma, Certificate or PDF you must study and complete all modules and score 80% or more in each of the course assessments. A link to your Diploma certificate will then appear under the My Certificates heading of your My Account page.

#### Learning Outcomes

Learning outcomes: - Understanding Simple and Compound Interest; - Examine how to calculate using Simple and Compound formulas; - Learn the key differences of each and when they are used; - Overall general concept of how Interest is calculated on loans.

Manage a Group of Learners

Module Title
Module 1: Introduction to Simple and Compound Interest
Module 2: Introduction to Simple and Compound Interest Assessment

 Course Rating (By Learners): 4 stars based on 17 reviews Course Title: Introduction to Simple and Compound Interest Course #: 457 Course Publisher: Khan Academy Course Category: 2 Content Origin: Course Description: Any person with a bank account, credit card or bank loan will come across aspects of simple interest and compound interest. However, many people have difficulty in distinguishing between the two types of interest and how they should be calculated. In this free online course you will learn why simple interest is called simple interest, how simple interest is used in daily life and how it is calculated. Compound interest, as the name implies, is a little more complicated but this course explains the concept clearly and covers the methods used for calculating compound interest. This course will be of great interest to all learners who are intimidated by financial concepts such as simple interest and compound interest, and would like to study a course that explains these concepts in a step-by-step and easy to follow manner. License: This course is available from Khan Academy OpenCourseWare through the following Creative Commons licence: Release Date: 10 August 2012 Content Course Duration (Avg Learner): 1-2 Hours Video/Audio: High Audio Only: High Animation: None Assessments: Yes Education Level Age appropriateness: 16+ Years Minimum Grade/Class Level: Post-Secondary Validation: Level 5 ALISON Testing: Yes Certification Availability PDF Download: Yes Parchment: Yes Framed Certification: Yes