Simple interest

Front

What is the formula for calculating simple interest?

Back

I = P * r * t, where I is the interest, P is the principal, r is the rate of interest, and t is the time in years.

Front

What does 'P' represent in the simple interest formula?

Back

P represents the principal, which is the amount of money borrowed or deposited.

Front

If you deposit $500 at an interest rate of 3% for 2 years, how much interest will you earn?

Back

$30.

Front

What is the interest earned on a principal of $1,000 at a rate of 5% over 4 years?

Back

$200.

Front

If Maria borrowed $3,000 at a simple interest rate of 4% per year, how much interest does she owe after 4 years?

Back

$480.

Front

What is the total amount Maria has to repay after 4 years?

Back

$3,480.

Front

How do you calculate the total amount to be repaid in a simple interest loan?

Back

Total Amount = Principal + Interest.

Front

What is the interest earned on a principal of $350 at a rate of 2.5% over 3 years?

Back

$26.25.

Front

If the principal is $200 and the interest rate is 6% for 5 years, what is the interest?

Back

$60.

Front

What does 'r' represent in the simple interest formula?

Back

r represents the rate of interest, expressed as a decimal.