Economy
, -
SIMPLE INTEREST -
↳ basis of interest is always the initial amount
Solh : -
69
O 31 100
° i 2 3 n
period
F =p ( It rn ) l l l 7
# I > n, * assume
ordinary simple
#/
. . .
,
I
t i t ! ( year month ,
etc) N interest ,
unless specified
p
,
l l
F D where u
I
=
Prn
l
-
l :
' '
= A assume annual interest
* eco .o , )
l
l
f
v
P
I l l
l P 0.97 F
-
- rate ,
unless specified
0.03ft
D
-
l
-
Pt Pr l l
TI l l
Ptprcz)
tr
l l
net interest :
I
'
Ptprl 's
I T
1
, I = -
I =
Prn
+
¥0 )
Ptprn F
0.03¥ : 0.97 #4) (
-
-
r 0.1614 16.14%
-
-
or
* 2 Types of simple Interest *
•
Ordinary
↳ assumes that there are 30 days ) month
360 called the
or
days in a
year ,
"
banker's rule
"
Solh :
• Exact I
'
-
-
I -
T
↳ assumes the exact days in a
year 890.36 i
I
-
0.2015
wk is 365 ( regular) and 366 ( leap year) I
-
-
1112.95
SAMPLE PROBLEMS :
I =
Prn
1112.95--110000 (r )(}÷o)
r :
0.1175 I 11.75%
Solh:
From May 1,2002 to
May 1,2005 = 3 (360)
From
May I , 2005 to Aug .
1,2005 : 90
1170
days
I : Prn
317600 )
'
=
250006.08)(
I 6,500
-
-
Solh :
May I,
20021365
May 1,2003
May 1,20041366
May 1,20051365
May 131 )
August 1,2005
! Junko )
July ( 31 )
1188
days
I -
-
Prn
8386¥ )
"
'
25.0001000)(
I :
6,504.11