Checkpoint #15: Simple Interest

Front

The money you borrow or invest is called __________?

Back

Principal

Front

What does the 'R' in the simple interest formula stand for?

Back

Rate

Front

If Principal = $500, Interest rate = 5%, Time = 5 years, what is the interest earned?

Back

$125

Front

Maria borrowed $3,000 at a rate of 4% per year. How much did she have to repay IN TOTAL after 4 years?

Back

$3,480

Front

Emilio borrows $1,200 from a bank at a rate of 8% per year. How much will he have to pay back in total after 2 years?

Back

$1,392

Front

What is the formula for calculating Simple Interest?

Back

Simple Interest = Principal × Rate × Time

Front

If you invest $1,000 at a rate of 6% for 3 years, how much interest will you earn?

Back

$180

Front

What is the total amount to be repaid if the principal is $2,000, the rate is 3%, and the time is 4 years?

Back

$2,240

Front

If the interest earned is $50, the principal is $1,000, what is the rate?

Back

5%

Front

What does 'Time' refer to in the context of simple interest?

Back

The duration for which the money is borrowed or invested, usually in years.