kalogo.gif      MONEY - SIMPLE INTEREST

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Simple Interest: A quoted interest rate on a capital amount for a certain term produces interest at the end of the term. This interest is directly proportional to the loan. At the end of the term, the capital and the simple interest earned is returned.

Capital Interest Rate % Term years Simple Interest Earned Capital + Simple Interest Earned
100 10 1 100 x 10 x 1 / 100 = 10 100 + 10 = 110
100 10 2 100 x 10 x 2 / 100 = 20 100 + 20 = 120
1000 5 10 1000 x 5 x 10 / 100 = 500 1000 + 500 = 1500
1000 5 20 1000 x 5 x 20 / 100 = 1000 1000 + 1000 = 2000

Simple Interest Calculator:

Capital:             Interest Percent:           NumberOfYears: 

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