Simple Interest Math 7

Front

What is Simple Interest?

Back

Simple Interest is the interest calculated on the principal amount only, without compounding. It is calculated using the formula: Interest = Principal × Rate × Time.

Front

What is the formula for calculating Simple Interest?

Back

The formula for calculating Simple Interest is: Interest = Principal × Rate × Time.

Front

If the Principal is $1,000, the interest rate is 5%, and the time is 3 years, what is the Simple Interest?

Back

The Simple Interest is $150.

Front

What does 'Principal' mean in the context of Simple Interest?

Back

Principal is the initial amount of money that is invested or borrowed before interest is added.

Front

What does 'Rate' refer to in Simple Interest calculations?

Back

Rate refers to the percentage of interest charged or earned on the principal amount, usually expressed annually.

Front

What does 'Time' mean in Simple Interest calculations?

Back

Time refers to the duration for which the money is invested or borrowed, typically measured in years.

Front

Calculate the Simple Interest for a Principal of $2,500 at a rate of 6% for 4 years.

Back

The Simple Interest is $600.

Front

If you invest $3,000 at an interest rate of 4% for 5 years, how much interest will you earn?

Back

You will earn $600 in interest.

Front

What is the total amount after earning Simple Interest?

Back

Total Amount = Principal + Simple Interest.

Front

If the Simple Interest earned is $200 and the Principal is $1,000, what is the interest rate if the time is 2 years?

Back

The interest rate is 10%.