Learn about **Python Program to Calculate Compound Interest using Function** in the below code example. Also refer the comments in the code snippet to get a detailed view about what’s actually happening.

Contents

#### Python Program to Calculate Compound Interest using Function

```
# Program to calculate compound interest using function
# user-defined function
def compound_interest(principal, rate, time, number):
amount = principal * pow( 1+(rate/number), number*time)
return amount
# inputs from user
principal = float(input('principal amount: '))
rate = float(input('interest rate: '))
time = float(input('time (in years): '))
number = float(input('Number of times that interest is compounded per year: '))
# conversion rate
rate = rate/100
# function call
amount = compound_interest(principal, rate, time, number)
# calculating compound interest
ci = amount - principal
# printing result
print('Compound interest = %.2f' %ci)
print('Total amount = %.2f' %amount)
```

**Output:**

principal amount: 2000 interest rate: 2 time (in years): 5 Number of times that interest is compounded per year: 2 Compound interest = 209.24 Total amount = 2209.24

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