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10

it is the interest calculated on the principal amount only, without compounding.

simple interest

10

it is the principal in a simple interest formula.

principal or principal amount

10

The percentage of the principal charged as interest over a specific period.

rate of interest

10

It is the duration for which the money is invested or borrowed, typically expressed in years.

time

10

The method of calculating interest using 365 days.

exact interest

20

Hope Slater borrowed $40,000 for office furniture. The loan was for 6 months at an annual interest rate of 4%. What is Hope’s interest?

$800

$40,000 x 0.04 x (6/12) = $800

20

How many days are there when calculating exact interest?

365 days

20

Karen borrowed $13,000 from Scott at 3.5% for 287 days. Using the exact-days method, How much is the interest for the loan?

Interest = 357.77 USD

20

Raini has $750 in a savings account that pays 3% simple interest. How much interest will he earn in 9 months?

16.88 USD

20

How many days are there when calculating ordinary interest??

360 days

40

Hope borrowed $40,000. The loan was for 18 months at a rate of 4%. What is the interest?

$40,000 x (18/12) x 0.04 = $2,400

$2,400

40

$250 invested at 2.85% for 3 years

$21.380

40

Claire deposits $3600 at 5% per annum for 2 years. How much simple interest does she earn?

$360

40

interest based on 360-day year or also called Banker's Interest

ORDINARY INTEREST

40

the amount of paid for the use of another amount of money

INTEREST

80

On March 4, Joe Bench borrowed $50,000 at 5%. Interest and principal are due on July 6.

Use exact interest!

27 days in March, 30 days in April, 31 days in May, 30 in June and 6 in July = 124 total days

$50,000 x 0.05 x (124/365) = $849.32


$849.32

80

Irene Invested P2,500 at 16% simple interest for 125 days. what is ordinary interest?

P 138.88

80

SIMPLE INTEREST

$3,000, 5.5%, 24 months

$330

80

Find Time when, Principal = $ 1500; Interest = $ 450; Rate = 5%

Time (T) = 6 years.

80

Andrew gained $230 interest on the balance in his account at 7% interest p.a after 6 years. What was the principle?

$547.62

500

On March 4, Joe Bench borrowed $50,000 at 5%. Interest and principal are due on July 6.

Use ordinary interest!

27 days in March, 30 days in April, 31 days in May, 30 in June and 6 in July = 124 total days

$861.11 interest

500

Marcus has $1,800 from his summer job to invest. Suppose he invests the $1,800 for 2 years and earns $144. What is the rate of interst?

rate = 4%

500

Irene Invested P2,500 at 16% simple interest for 125 days. what is exact interest?

136.98 PHP

500

300 days from February 28, 2018

December 25, 2018

500

Sydney invests $9200 in a 6-month saving account. The interest rate is 2% per month. what was the interest earned

$1,104