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A simple interest calculator is a financial instrument used to calculate interest at a predetermined rate that is earned or payable on a principal amount over a certain period of time. This calculator lets users enter the principal amount, interest rate, and tenure and then instantly displays the amount of simple interest accrued and the final amount receivable or payable. The free online simple interest calculator provides instant and error-free results that streamline interest calculations. Read on to know how a simple interest calculator works, its calculation formula, how to use the calculator as well as the key differences between simple interest and compound interest.
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