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Simple Interest Practice Questions Guide

The document contains practice questions related to simple interest, covering topics such as calculating interest earned, finding the principal, rate, and time, as well as present value and mixed concept questions. It includes specific scenarios involving deposits, loans, and interest rates. Additionally, there are mini self-check exercises to reinforce understanding of the concepts presented.

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daniaqaisara277
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5 views1 page

Simple Interest Practice Questions Guide

The document contains practice questions related to simple interest, covering topics such as calculating interest earned, finding the principal, rate, and time, as well as present value and mixed concept questions. It includes specific scenarios involving deposits, loans, and interest rates. Additionally, there are mini self-check exercises to reinforce understanding of the concepts presented.

Uploaded by

daniaqaisara277
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

Chapter 1: Simple Interest — Practice Questions

1. Basics of Simple Interest


1 Ahmad deposits RM4,000 in a savings account that pays 5% simple interest per year. How much interest
will he earn in 3 years, and what will be the total amount?

2 A company borrowed RM12,000 for 18 months at a simple interest rate of 8% per annum. Find the
interest.

2. Exact Time Between Dates


Find the number of days between 10 March 2023 and 25 June 2023.

3. Ordinary and Exact Interest


Find both the ordinary and exact interest for RM5,000 at 9% per annum for 90 days.

4. Finding Principal, Rate, and Time


1 If RM720 interest is earned in 4 years at 6% simple interest, find the principal.
2 A loan of RM8,000 earns RM1,600 interest in 5 years. Find the rate of interest per annum.
3 How long will it take RM10,000 to earn RM2,000 interest at 8% simple interest per year?

5. Present Value (Discounting)


1 Find the present value of RM4,500 due in 3 years if the simple interest rate is 10% per annum.
2 A business wants to have RM12,000 in 4 years. How much must be invested now if the simple interest
rate is 7% per annum?

6. Mixed Concept Question


A bank offers 6% simple interest. If a customer wants RM8,000 after 2 years, how much should he deposit
today? Also, find how much more he would earn if the bank used 360 days instead of 365 days in the
calculation for the same period (assuming exact 2 years = 730 days).

Mini Self-Check Practice


1 Find I when P = RM9,000, r = 8%, t = 2 years.
2 Find A when P = RM6,000, r = 5%, t = 4 years.
3 Find P when A = RM7,000, r = 6%, t = 3 years.
4 Find r when I = RM1,200, P = RM4,000, t = 5 years.

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