1. The formula for simple interest is SI = P × R × T / 100, where SI = simple interest, P = principal amount, R = the interest rate per annum, and T = the time in years. To calculate the simple interest (SI), multiply the principal amount by the interest rate and the time in years, and then divide it by 100.
2. The total payback of money at the termination of the time period for which it was borrowed, then it is called the amount. We know that Simple Interest(S.I.) ={Principal(P)×Time period(T)×Rate of Interest(R)}/100.
3.
| Time |
Simple interest Formula |
Explanation |
| Years |
PTR/100 |
T = Number of years |
| Months |
(P × n × R)/ (12 ×100) |
n = Number of months |
| Days |
(P × d × R)/ (365 ×100) |
d = Number of days (non-leap year) |
