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09 Interest & Discounting, Average, Etc. || Mathematical Reasoning & Aptitude By Michael Khamnam
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134 views8likes1:08:38michaelkhamnamOriginal Release: 2026-05-05

This video explains the fundamental concepts of interest and discounting in financial mathematics. Simple interest is calculated uniformly on the principal amount using the formula SI = (P × R × T) / 100, where P is principal, R is rate, and T is time. Compound interest, however, is calculated on both the principal and accumulated interest, meaning interest earns interest, with the formula CI = A - P where A is the final amount. The video also covers successive discounting, measures of central tendency (mean), and practical applications including work rate problems and average calculations.

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