Simple interest

Front

What is the formula for simple interest?

Back

I = P * r * t

Front

What does the 'r' stand for in the simple interest equation?

Back

Rate (% as decimal)

Front

What does the 't' stand for in the simple interest equation?

Back

Time

Front

What does the 'I' stand for in the simple interest equation?

Back

Interest ($)

Front

If you invest $1000 at a rate of 5% for 3 years, what is the simple interest earned?

Back

$150

Front

How do you convert a percentage to a decimal for calculations?

Back

Divide the percentage by 100.

Front

What is the total amount after earning simple interest?

Back

Total Amount = Principal + Interest

Front

If the principal is $500 and the interest earned is $50, what is the interest rate?

Back

10% (I = P * r * t, where t = 1 year)

Front

What is the principal in a simple interest calculation?

Back

The initial amount of money invested or borrowed.

Front

If you have an interest of $200 on a principal of $1000 over 4 years, what is the rate?

Back

5% (I = P * r * t)