Interest Calculations - Financial Accounting

We will calculate simple interest multiple ways. The calculation of interest is not complicated but we it can be done in different formats. It is best to know each format so we can recognize the calculation in the work of others and apply the best format to whatever situation we are working with. The first thing to understand is that we generally express interest in years, even if not said explicitly. When we calculate interest for any period other then a year we need to account for this.

For more accounting information see website.
http://accountinginstruction.info/