Simple Interest:

I=Prt
I – interest
Exact days 
P – principal
r – rate
Jan  Feb  Mar Ap May  Ju
t- term of the loan in years r n

Maturity Value Future Value: 31 28 31 30 31 30

F=P + I
F= P + Prt Jul Aug  Sept  Oc Nov De
t c
F=P(1+rt)
F- Maturity Value
31 31 30 31 30 31 
P – Principal
r – rate Approx time 
t – time in years
Jan  Feb  Mar Ap May  Jun
r
no . of days
Exact Interest - te = 30 30 30 30 30 30
365
no . of days Jul Aug  Sept  Oct Nov Dec
Ordinary Interest – t = o
360 30 30 30 30 30 30
Simple Discount:

Id = Fdt
Pr = F – Id
Pr = F – Fdt
Pr = F (1-dt)
F – Maturity Value of the loan
d- discount rate
t – term of the loan
P – proceeds
I – Interest

Compound Interest:
n
F=P(1+i) Compound Amount
(Accumulation Factor)
j
i=
m
 n=tm
F- compound interest
n
P – Compound present value
j i-interest rate
F=P(1+ ) n-number of periods
m j-nominal rate
−n
P=F (1+i) Compound Present Value t-term in years
(Discount Factor) m-frequency of conversion

[( ) ]
1 Annually m=1
F n Semi-annually m=2
j=m −1 100 % Quarterly m=4
P Monthly m=12

t=
log ( FP )
m log ( 1+i )

n=
log
F
P( )
log ( 1+i )