What is Compound Interest? — Meaning, Definition & Example
Definition
Compound interest is interest calculated on both the initial principal and the accumulated interest from previous periods. It is the foundation of wealth creation through investments. Einstein reportedly called it the eighth wonder of the world.
₹1 lakh invested at 12% compound interest grows to ₹3.11 lakh in 10 years, ₹9.65 lakh in 20 years, and ₹29.96 lakh in 30 years — that is the power of compounding.
🇮🇳 Compound Interest in Hindi / हिंदी में
चक्रवृद्धि ब्याज — चक्रवृद्धि ब्याज वह ब्याज है जो प्रारंभिक मूलधन और पिछली अवधियों के संचित ब्याज दोनों पर गणना किया जाता है। यह निवेश के माध्यम से धन सृजन की नींव है।
Compound Interest (Hinglish) — Compound interest wo interest hai jo initial principal ke saath saath pehle ke accumulated interest pe bhi lagta hai. Ye wealth creation ki buniyad hai.