Compound Interest — Mathematical Model

Calculate a mathematical final amount from a nominal annual rate and compounding frequency.

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Holiday lists are not filled automatically. Enter one date per line; do not put the same date in both lists. Duplicates within a list count once. Check the rate, period count and compounding frequency together.

Method and scope

A = P × (1 + r / (100 × m))ⁿ. P is principal, r the nominal annual percentage, m periods per year, and n completed periods. With monthly compounding, 12 periods equal one year; do not enter years as the period count. Only the final amount is rounded to cents. No contributions, taxes or fees are included.

The result is not legally collectible interest. Turkish Code of Obligations Article 388 prohibits capitalization of loan interest; Commercial Code Article 8(2) provides a limited exception for specified commercial relationships and periods of at least three months. The monthly option is mathematical and does not satisfy that exception. Consumer and other special rules require separate review; the model is not applied to your contract automatically.

Sources

Sources checked: 3 November 2026