Simple Interest

Definitions :


1. Principal: The money borrowed or lent out for a certain period is called the Principal or the Sum


2. Interest : Extra money paid for using other's money is called Interest 


3. Simple Interest (S.I.) : If the interest on a sum borrowed for certain period is reckoned uniformly, then it is called Simple interest 






Formulas :

1. Let Principal = P, Rate = R% per annum (p.a.) and Time = T years. Then
   
   
   

   *  Simple Intereest =		P x R x T
   		100

   
   
   
   

   P =

   100 x S.I.

   R =

   100 x S.I.

   T =

   100 x S.I.

   .

   R x T

   P x T

   P x R