Javascript program for calculating the compound interest

In this video, we will write a javascript program to calculate compound interest.

What is compound interest?
Compound interest is the addition amount of interest in the principal sum.It is the result of reinvesting interest, rather than paying it out, so that interest in the next period is then earned on the principal sum plus previously-accumulated interest.
Compound interest may be contrasted with simple interest, where interest is not added to the principal, so there is no compounding.

Formula: to calculate compound interest annually is given by:
Amount= P(1 + R/100)T

Compound Interest = Amount – P
Where,
P is the principal amount
R is the rate and
T is the time span

Now take some examples for calculating compound interest:

Example 1:
Input:
Principle (amount): 1200,
Time: 2,
Rate: 5.4
Output: Compound Interest = 133.099243

Example 2:
Input:
Principle (amount): 1000,
Time: 2
Rate: 5
Output: Compound Interest = 1025

Algorithm:
Step 1: Define principal amount, rate, and time.
Step 2: Apply the compound interest formula.
Step 2.1: Use math. pow() to calculate a number raised to the power of the same number.
Step 3: Print the Compound interest of the given input number.

Here the Time complexity and space complexity will be O(1).