Answer:
Compound Interest
FV = PV x ( 1 + r)^n
Simple Interest
FV = PV + ( PV x I x N )
Step-by-step explanation:
Compound interest used the compounded effect in its equation and It is calculated by multiplying the present value of investment with the compounding effect formula.
Future Value = Present Value x ( 1 + Interest rate )^investment period
In simple Interest the interest on the present value for investment period is added in the present value amount to calculate the future value of the investment.
Future Value = Present Value + ( Present value x Interest rate x Investment period )