Simple Interest

Front

What is the formula for simple interest?

Back

I=Prt

Front

What does the P in I = PRT mean?

Back

Principal

Front

The Principal and Interest are always___________. Options: fraction, decimal, percent, money

Back

money

Front

In the formula I=P·R·T, what does r stand for in a loan? Options: Rate, Ratio, Return, Reserves

Back

Rate: the interest percentage you will pay on a loan

Front

In the simple interest formula I=Prt, what does t represent?

Back

Time, in years

Front

Write the decimal as a percent: 0.37

Back

37%

Front

Write the percent as a decimal: 4.3%

Back

.043

Front

9 months is how many years?

Back

0.75

Front

The rate is given as a percent (%). Before using it in the simple interest formula, you must first convert it to a ______. Options: Fraction, Decimal, Ratio, Dollar Amount.

Back

Decimal

Front

Dan borrowed $2,000 for 6 months at 12% annual simple interest rate. How much interest is that?

Back

$120