Simple and Compound Interest

Front

What is the simple interest formula?

Back

I= P•R•T

Front

What does "I" represent in the simple interest formula?

Back

interest money earned

Front

When using the simple interest formula, time needs to be entered in terms of?

Back

years

Front

The "principal" can be described as ______.

Back

the starting amount of money

Front

What is 8.25% in decimal form?

Back

0.0825

Front

Which of the following is not needed to calculate the simple interest? Options: principal, interest rate, time, term

Back

term

Front

How would you enter 3 months into the simple interest formula?

Back

0.25

Front

Solve for I when P = $100, R = 40%, and T = 1 year.

Back

$40

Front

Equation for simple interest on $3400 at 7.5% for 18 months? Options: I=3400(7.5)(18), I=3400(0.075)(1.5), I=3400(0.075)(18), I=3400(0.75)(1.5)

Back

I=3400(0.075)(1.5)

Front

How long would it take to earn $600 simple interest on $4,000, with a rate of 5%?

Back

3 years