Episode 15 — Finance Growth and Decay

Compound Interest Revision

Learners will be able to:

• Explain the concept of compound interest and its effect on money invested wisely. • Describe how compound growth means that interest earns interest, resulting in faster wealth accumulation over time. • Identify examples of the power of compound or exponential growth, such as doubling money every day. • Calculate the potential value of investing a small amount of money with compound interest over a period of time. • Apply the concept of compound interest to make informed decisions about saving and investing.