# Java Program to Calculate simple interest and compound interest

In this example, we will learn to calculate the simple interest and compound interest in Java.

To understand this example, you should have the knowledge of the following Java programming topics:

## Example 1: Calculate Simple Interest in Java

``````import java.util.Scanner;

class Main {
public static void main(String[] args) {

// create an object of Scanner class
Scanner input = new Scanner(System.in);

// take input from users
System.out.print("Enter the principal: ");
double principal = input.nextDouble();

System.out.print("Enter the rate: ");
double rate = input.nextDouble();

System.out.print("Enter the time: ");
double time = input.nextDouble();

double interest = (principal * time * rate) / 100;

System.out.println("Principal: " + principal);
System.out.println("Interest Rate: " + rate);
System.out.println("Time Duration: " + time);
System.out.println("Simple Interest: " + interest);

input.close();
}
}``````

Output

```Enter the principal: 1000
Enter the rate: 8
Enter the time: 2
Principal: 1000.0
Interest Rate: 8.0
Time Duration: 2.0
Simple Interest: 160.0```

In the above example, we have used the `Scanner` class to take principal, rate, and time as input from the user. We then use the formula of simple interest to compute the simple interest.

``Simple Interest = (Principal * Rate * Time) / 100``

## Example 2: Calculate Compound Interest

``````import java.util.Scanner;

class Main {
public static void main(String[] args) {

// create an object of Scanner class
Scanner input = new Scanner(System.in);

// take input from users
System.out.print("Enter the principal: ");
double principal = input.nextDouble();

System.out.print("Enter the rate: ");
double rate = input.nextDouble();

System.out.print("Enter the time: ");
double time = input.nextDouble();

System.out.print("Enter number of times interest is compounded: ");
int number = input.nextInt();

double interest = principal * (Math.pow((1 + rate/100), (time * number))) - principal;

System.out.println("Principal: " + principal);
System.out.println("Interest Rate: " + rate);
System.out.println("Time Duration: " + time);
System.out.println("Number of Time interest Compounded: " + number);
System.out.println("Compound Interest: " + interest);

input.close();
}
}``````

Output

```Enter the principal: 1000
Enter the rate: 10
Enter the time: 3
Enter number of times interest is compounded: 1
Principal: 1000.0
Interest Rate: 10.0
Time Duration: 3.0
Number of Time interest Compounded: 1
Compound Interest: 331.00000000000045```

In the above example, we have used the formula of compound interest to calculate the compound interest.

Here, we have used the Math.pow() method to calculate the power of the number.