compound interest

简明释义

复利

英英释义

例句

1.The formula for compound interest (复利) is A = P(1 + r/n)^(nt), where A is the amount of money accumulated after n years.

复利（compound interest）的公式是A = P(1 + r/n)^(nt)，其中A是n年后累计的金额。

2.Understanding compound interest (复利) is crucial for making informed investment decisions.

理解复利（compound interest）对做出明智的投资决策至关重要。

3.If you invest $1,000 at a 5% annual interest rate, after 10 years, the amount will grow due to compound interest (复利) to approximately $1,628.

如果你以5%的年利率投资1000美元，经过10年，由于复利（compound interest），金额将增长到大约1628美元。

4.Investing early allows you to take advantage of compound interest (复利) and build wealth over time.

尽早投资可以让你利用复利（compound interest）并随着时间的推移积累财富。

5.Many savings accounts offer compound interest (复利), which means your money can grow faster over time.

许多储蓄账户提供复利（compound interest），这意味着你的钱可以随着时间的推移更快地增长。

作文

Understanding the concept of compound interest is crucial for anyone looking to manage their finances effectively. In simple terms, compound interest refers to the interest calculated on the initial principal, which also includes all the accumulated interest from previous periods on a deposit or loan. This means that not only do you earn interest on your initial investment, but you also earn interest on the interest that has been added to your account over time. This can lead to significant growth in your savings or investments if left to accumulate over a long period.To illustrate how compound interest works, let’s consider an example. Imagine you invest $1,000 in a savings account that offers a 5% annual interest rate. After the first year, you would earn $50 in interest, bringing your total balance to $1,050. In the second year, you would earn interest not just on your original $1,000, but also on the $50 interest you earned the previous year. So, in the second year, you would earn $52.50 in interest, bringing your total balance to $1,102.50. This process continues, and as the years go by, the amount of interest you earn increases because of compound interest.The power of compound interest becomes even more apparent when you extend the time frame. The longer you leave your money invested, the more pronounced the effects of compound interest will be. For instance, if you were to leave that initial $1,000 invested for 30 years at the same 5% interest rate, you would end up with approximately $4,321.94. This is a stark contrast to simply earning 5% on your initial investment each year without compound interest, which would only yield $2,000 after 30 years.Many people underestimate the importance of starting to save early in life, often thinking they have plenty of time to save for retirement or other financial goals. However, the earlier you start saving and investing, the more time your money has to grow through compound interest. This is why financial advisors often emphasize the importance of beginning to save as soon as possible, even if it’s just a small amount. Over time, those small contributions can accumulate significantly due to the effects of compound interest.It’s also essential to understand that compound interest can work against you when it comes to debt. For example, if you have a credit card with a high interest rate, the interest on your unpaid balance compounds, meaning you could end up paying significantly more than you initially borrowed. This is why it’s vital to pay off debts as quickly as possible to avoid falling into a cycle of accumulating interest.In conclusion, compound interest is a powerful financial tool that can help you grow your wealth over time. By understanding how compound interest works, you can make informed decisions about saving and investing, ultimately leading to better financial outcomes. Whether you are saving for retirement, a home, or simply building an emergency fund, taking advantage of compound interest can make a substantial difference in your financial future.

理解复利的概念对任何希望有效管理财务的人来说都是至关重要的。简单来说，复利是指在初始本金上计算的利息，这也包括在存款或贷款的前几个期间累积的所有利息。这意味着你不仅可以在初始投资上赚取利息，还可以在随着时间推移而添加到你账户中的利息上赚取利息。如果让这些利息积累很长一段时间，这可能会导致你的储蓄或投资显著增长。为了说明复利的运作方式，让我们考虑一个例子。假设你在一个提供5%年利率的储蓄账户中投资1000美元。在第一年结束时，你将获得50美元的利息，使你的总余额达到1050美元。在第二年，你将不仅在原始的1000美元上赚取利息，还将在第一年获得的50美元利息上赚取利息。因此，在第二年，你将获得52.50美元的利息，使你的总余额达到1102.50美元。这个过程继续进行，随着岁月的流逝，由于复利的作用，你赚取的利息金额会增加。当你延长时间框架时，复利的力量变得更加明显。你投资的钱留得越久，通过复利增长的效果就越明显。例如，如果你将最初的1000美元以相同的5%利率投资30年，你最终将拥有大约4321.94美元。这与在没有复利的情况下每年仅在初始投资上赚取5%的收益形成了鲜明的对比，后者在30年后只会产生2000美元。许多人低估了尽早开始储蓄的重要性，常常认为他们有足够的时间为退休或其他财务目标储蓄。然而，越早开始储蓄和投资，你的钱就越有时间通过复利增长。这就是为什么金融顾问常常强调尽早开始储蓄的重要性，即使只是少量资金。随着时间的推移，这些小额贡献由于复利的影响可以显著积累。同样重要的是要理解，当涉及到债务时，复利可能会对你不利。例如，如果你有一张高利率的信用卡，未偿还余额上的利息会复利，这意味着你可能最终支付的金额远远超过你最初借入的金额。这就是为什么尽快偿还债务至关重要，以避免陷入累积利息的循环。总之，复利是一种强大的金融工具，可以帮助你随着时间的推移增加财富。通过理解复利的运作方式，你可以做出明智的储蓄和投资决策，从而实现更好的财务结果。无论你是在为退休、购房还是仅仅建立应急基金而储蓄，利用复利都可以对你的财务未来产生重大影响。