Simple Interest
Interest which is paid only on the Principal and not on the additional amount generated by previousInterest payments. A formula for computing simple interest is
where
is the sum of Principal and Interest at time 
for a constant interest rate 
.See also Compound Interest, Interest
References
Kellison, S. G. Theory of Interest, 2nd ed. Burr Ridge, IL: Richard D. Irwin, 1991.
- Analytic Function
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