Simple Interest

What is the simple interest formula?

• I = rt

• P = rt

• I = prt

• I = pt

Time, t, must be in terms of what unit?

• months

• years

• days

• minutes

Find the simple interest earned to the nearest cent for each principal, interest rate and time.

REMINDER: I = prt

p = $500

r = 4%

t = 2 years

• $4

• $4,000

• $40

• $540

Find the simple interest earned to the nearest cent for each principal, interest rate and time.

REMINDER: I = prt

p = $350

r = 6.2%

t = 3 years

• $65.10

• $6,510

• $415.10

• $356.20

Find the simple interest earned to the nearest cent for each principal, interest rate and time.

REMINDER: I = prt

p = $740

r = 3.25%

t = 2 years

• $788.10

• $48.10

• $4,810

• $24.05

Find the simple interest earned to the nearest cent for each principal, interest rate and time.

REMINDER: I = prt

p = $725
r = 4.3%

 $t\ =\ 2\ \frac{1}{2}\ years$  

• $31.18

• $802.94

• $7,793.75

• $77.94

Find the simple interest earned to the nearest cent for each principal, interest rate and time.

REMINDER: I = prt

p = $955
r = 6.75%

 $t\ =\ 3\ \frac{1}{4}\ years$  

• $209.50

• $20,950.31

• $1,164.50

• $128.93

Find the simple interest earned to the nearest cent for each principal, interest rate and time.

REMINDER: I = prt

p = $1,540
r = 8.25%

 $t\ =\ 2\ years$  

• $2,541

• $254.10

• $25,410

• $1,794.10

Find the simple interest earned to the nearest cent for each principal, interest rate and time.

REMINDER: I = prt

p = $3,500
r = 4.2%

 $t\ =\ 1\ \frac{3}{4}\ years$  

• $257,250

• $257.25

• $110.25

• $3,505.95

Find the simple interest earned to the nearest cent for each principal, interest rate and time.

REMINDER: I = prt

p = $568
r = 16%

 $t\ =\ 6\ months$  

• $545.28

• $54.53

• $9,088

• $45.44