Sniper Mode: Money Growth

1. Simple Interest (SI)

• Formula: SI = (P x R x T) / 100.
• Amount = P + SI.
• Concept: SI is same every year.
• Money Multiplier: Money becomes N times in T years. T = (N-1)*100 / R.

2. Compound Interest (CI)

• Formula: A = P(1 + R/100)^T.
• Concept: Interest on Interest. Successive % change.
• Tree Method (Best): P=1000, 10% Rate.
  • Year 1: 100.
  • Year 2: 100 + 10 (10% of prev interest). Total 210.

3. SI vs CI Difference

• 2 Years: Diff = P(R/100)^2.
• 3 Years: Diff = P(R/100)^2 * (300+R)/100.
  • Or use ratio 3:3:1.

4. Installments

• SI Installment: 100 + (100+R) + (100+2R)... = Total Debt (Due Amount).
  • Watch out: Debt amount includes interest.
• CI Installment: P = x/(1+R/100) + x/(1+R/100)^2...