A simple interest rate of 10 per cent per year will double a sum of money in ten years.
It will take 20 years.
It was eight years.
With simple interest the interest is on the capital only. For 2 years, the interest is 2 × 8% of 5,000 = 2 × 8/100 × 5,000 = 800
To calculate an interest (as money), multiply the capital, times the interest rate (divided by 100, if it is expressed in percent), times the number of periods. The above assumes simple interest; compound interest is a bit more complicated.
10 years. Compound interest would take 7 years.
20 YEARS
30 years
It will take 20 years.
simple interest = principle (money) times the rate times the time
Simple Interest
Simple interest = money invested x rate/100 x number of years
I=PRT I=Interest P=Pecuniary(money) R= Rate(interest) T= Time
Simple interest is a pre-determined amount of money. Such as - I'll loan you $100 and you pay me back $110.
When you put money in the bank , they don't produce more , the use simple interest to charge you fees
The first money lender, of course!
It depends on whether it is simple or compound interest. The formula for simple interest is A = P(1+rt), where A = amount of money after t years, P = Principal, or the amount of money you started with, and r = the annual interest rate, expressed as a decimal (i.e. 7% = 0.07). For compound interest, the formula is A = P(1+r)t.
Simple interest does not compound. In other words, If you start off with $500 and get $5 in interest, the $5 you got in interest will not be included when calculating the amount of interest you will get next year. Simple interest can be calculated by the formula i = prt, where i is the amount of money earned from the interest, p is the principle (starting money), r is the rate (as a decimal,) and t is the time in years. Another formula is used to calculated the accumulated amount: A = p(rt + 1), where A is the accumulated amount.