 # Simple Discount and Compound Discount Calculator

## Enter 3 out of 4 below

<-- Principal
<-- Interest
<-- Time

### How does the Simple Discount and Compound Discount Calculator work?

Given a principal value, interest rate, and time, this calculates the Accumulated Value using Simple Discount and Compound Discount
This calculator has 3 inputs.

### What 2 formulas are used for the Simple Discount and Compound Discount Calculator?

1. Simple Discount AV = 1/(1 - dt)
2. Compound Discount AV = 1/(1 + d)^t

For more math formulas, check out our Formula Dossier

### What 6 concepts are covered in the Simple Discount and Compound Discount Calculator?

accumulated value
The total value of an investment, including principal and interest accrued
discount
the amount by which the market price of a bond is lower than its principal amount due at maturity
interest rate
the proportion of a loan that is charged as interest to the borrower or proportion of principal credit given to a depositor
principal
The amount borrowed on a loan, before interest is charged
simple discount and compound discount
time
a point of time as measured in hours and minutes past midnight or noon