Compound interest accumulated between two periods can be found by taking the difference between the future values at the start and end of the two periods.
Rule of 78 Calculator
This free rule of 78 calculator with amortization schedule can be used for any loan with a maximum term of 600 periods. The calculator will work out the interest expense for any period, and produce a loan amortization schedule over the term of the loan.
Rule of 78 Method
The rule of 78 method is used to split loan repayments between interest and principal for each period of the loan term. The method results in a higher interest expense and lower principal repayments in the earlier periods.
Interest earned is usually reported in the financial statements of a business in the accounting period in which it is earned under the accounting categories of interest income, interest revenue, or investment revenue.
Simple and Compound Interest
For the same principal, rate, and term, simple interest is always lower than compound interest due to the fact that interest is calculated on interest when using the compounding interest method.