SIMPLE INTEREST 2
I = $ 20 Rate = 2% per annum Time = 20 month
$600
Time
For simple interest this is the years (period) that money is on loan and earning interest
Rate
Interest that is expressed in the decimal form of percent.
time
must be expressed as years
$350
p=$1250 r=7% t=4
$210
p=$2000 r=3.5% t=3year
$4,092
p=$34,100 r=4% t=3 years, what is I?
$157.50
p=$500 r=4.5% t=7
Steve invested $ 10,000 in a savings bank account that earned 2% simple interest. Find the interest earned if the amount was kept in the bank for 4 years.
$800
Interest Rate: 9% each year Starting Balance: $150 Time Passed: 14 years How much interest has accrued if we are using simple interest? What is the new total balance?
$189; $339
Ariel takes a loan of $8,000 to buy a used truck at the rate of 9 % simple Interest. Calculate the annual interest to be paid for the loan amount.
$720
$72
You borrow $600 from your parents at 4% interest for 3 years. How much interest will you pay them?
$888
p = 18,500 r = .4% t = 12 years
$30
p= $250 r = 4% t = 3 years
$2,720
p=$6,800 t=16 years r=2.5%, what is I?
$6,630
p=$8,500 r=6.5% t=12, what is I?
Principal
The initial amount of money deposited or borrowed.
I = P•r•t
The simple interest formula
Principal = $ 350 Time = 2¹/₂ years I. = $ 140
16%
Find the simple interest on $6000 from 16 May 2010 to 9 October 2010 at 10% per annum
$240
What sum of money will earn an interest of $ 162 in 3 years at the rate of 12% per annum
$450
If the balance at the end of eight years on an investment of $630 that has been invested at a rate of 9% is $1,083.60, how much was the interest?
$453.60
Interest Rate: 1% each year Starting Balance: $269 Time Passed: 3 years How much interest has accrued if we are using simple interest? What is the new total balance?
$8.07; $277.07
You invested $500 and received $650 after three years. What had been the interest rate?
10%
Principal = P = $4800, S.I = $900 and rate = R = 7.5%. Find the time.
2.5 years
Principal = $ 9600 Time = 3 months .I = $ 72
3%
Principal = P = $3500, S.I = $700 and rate = R = 5%. Find the time period in years.
4 years
P = $ 20,000 Amount = $ 21,800 and time T = 2 years. Find the rate.
4.5%
In how much time will the simple interest on $3,500 at the rate of 9% p.a be the same as simple interest on $4,000 at 10.5% p.a for 4 years?
5 1/3 years
P = $ 625 Amount = $ 641.25 and time T = 146 days. Find the rate.
6.5%
$60
A deposit of $500 in an account earns 6% simple interest. How much interest will it earn in 2 years?
INTEREST (Charged)
The amount of money charged to the borrower for the use of money
INTEREST (Paid)
The amount paid to an investor for the use of money
$1000
You deposit $5000 in an account that earns 5% simple interest. How much interest will it earn in 4 years?
Interest
amount earned on the principal
rate
must be expressed as a decimal
$261
p = $4500 r = 5.8% t = 1 year
$59.28
p = $780 r = 3.8% t = 2 years
$395
p = $9,875 r = 2% t = 2 years
Final Balance
principal + interest
$1,080
r=4.5% t=2 years p=$12000, what is I?
$4,204.80
r=4.8%, p = $43800, t=2 years, what is I?
$73.80
r=6% t=4 years p=$307.50, what is I?
Principal
the amount borrowed or invested
