How to determine how many times you compound in a year for compound interest

The video tutorial explains the concept of compound interest, detailing the formula and its components such as principal, interest rate, and time. It covers various compounding frequencies like yearly, semi-annually, quarterly, monthly, biweekly, weekly, and daily, explaining how each affects the final amount. The tutorial also introduces continuous compounding, explaining how it differs from regular compounding and involves the mathematical constant E, leading to the PERT formula for continuously compounded interest.

Describe the concept of 'E' in the context of continuously compounded interest.

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What is the formula for continuously compounded interest, and how does it differ from regular compounding?

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