Simple and Compound Interest

Front

Write the percent as a decimal: 4.3%

Back

.043

Front

Turn 0.6% into a decimal.

Back

0.006

Front

What is the formula for simple interest?

Back

I=Prt

Front

What does P stand for in I = Prt ?

Back

principal

Front

The principle in the simple interest formula I=Prt is:

Back

the amount of money borrowed or deposited

Front

In the formula I = Prt, where r represents the rate, rates must be converted into ____ before multiplying.

Back

decimals

Front

How can you find the time in years if given the time in months for calculating simple interest?

Back

Divide the months by 12.

Front

To earn as much interest as possible, you should open a savings account that earns ______ interest and has the _____ interest rate.

Back

compound ; highest

Front

Ann puts $300 in a bank account earning 4% simple interest. How much will she earn in interest in 1 year?

Back

12

Front

Smithville Bank offers 3.4% interest on a new savings account. Mr. Thomas opens an account with $1,500. How much simple interest will he earn in 3 years?

Back

$153