1. Simple Interest Learning Intention Success Criteria 1.To introduce the terms Interest, Rate, pa and Deposit. To be able to understand terms Interest, rate pa and Deposit 1.To be able to understand terms Interest, rate pa and Deposit Can calculate Simple Interest for 1 year. 2.Can calculate Simple Interest for 1 year. Can calculate Simple Interest for part of a year 3.Can calculate Simple Interest for part of a year 2.To show how to calculate the simple interest for 1 year 3.To show how to calculate the amount after interest is paid 4.To show how to calculate the interest for part of a year

2. What is Interest If you DEPOSIT money in a bank account then the bank will pay you a percentage as INTEREST The RATE of interest is given as a percentage per annum per annum is another phrase for per year SCOTIA BANK rate of interest 3.2% p.a. John DEPOSITS £200 Interest ( 1 yr ) = 3.2% of £200 Jill DEPOSITS £600 Interest ( 1 yr ) = of 3.2% £600

3. How to Calculate Interest ( 1) The 1 st step in all Simple Interest questions is to calculate the Interest due for 1 year ( annum ) Find the Interest a bank will pay on a Principal of £400 when the Interest rate is 7.5% p.a. Interest ( 1 Year ) = 7.5% of £400 7.5 ÷ 100 x % of 400 = 7.5 = £30

4. How to Calculate Interest ( 2) The 1 st step in all Simple Interest questions is to calculate the Interest due for 1 year ( annum ) Find the Interest a bank will pay on a Principal of £400 when the Interest rate is 7.5% p.a. Interest ( 1 Year ) = 7.5% of £400 7.5 100 7.5% is 7.5 out of100 x 400 ÷ 100x 7.5 = £30 = =

5. Calculating Interest for 1 year £730 at Rate of 2% p.a. £290 at Rate of 4% p.a. £1000 at Rate of 3.5% p.a. £300 at Rate of 5% p.a. £880 at Rate of 7% p.a. = = = = = £140 at Rate of 8% p.a. £470 at Rate of 10.5% p.a. = = (a) (b) (c) (d) (e) (f) (g) Next 01234 56789 C. ÷x 0 + On ² - Ans = √ (-) = = = = = = = Start Show Ans C

6. Amount in Bank after Interest p.a. 10.5% Rate of InterestMoney in Bank £600 Interest(1 yr) = = Original + Interest = Setup Next Amount = of = 01234 56789 C. ÷x 0 + On ² - Ans = √ (-) Banks automatically add interest to your bank account AMOUNT = What you had in bank ( Principal ) + Interest 600 10.5 2.1

7. Amount = Principal + Interest £140 at Rate of 10.5% p.a. £920 at Rate of 8.9% p.a. £1050 at Rate of 3% p.a. £720 at Rate of 7.3% p.a. £450 at Rate of 9.5% p.a. = = = = = £800 at Rate of 4% p.a. £560 at Rate of 1% p.a. = = (a) (b) (c) (d) (e) (f) (g) Next 01234 56789 C. ÷x 0 + On ² - Ans = √ (-) = = = = = = = Start Amount Show Ans C

8. Interest : Part of a year Karen deposited £2000 in her bank account in April. The bank pays a rate of 4% Interest per annum 6 months later she decided to buy a car and asked the bank teller how much interest she would get Half of the interest due for 1 year Interest for 1 year = 4% of £2000=£80 Interest for 6 month = £80 ÷ 2 = £40 Total in Bank = £2000 + £40 = £2040 4 ÷ 100 x 2000 80 Part of ….. Fraction of …. 6 12 part total 6 12 = 6 ÷ 12 = 0.5 = a half

9. Part of a year p.a. 4% Rate of Interest Deposit £970 Interest(1 yr) = = = for 4 months of 01234 56789 C. ÷x 0 + On ² - Ans = √ (-) Setup Any Month As the money is left in for less than a year the Interest paid will be a fraction of that paid for 1 year Interest 4 months = part total x = = 6 Months 3 Months 4 Months 970 4

10. Interest : Part of a Year On £1320 at 7% for 6 month On £2400 at 10.4% for 3 month On £3600 at 3% for 4 month On £10320 at 8% for 9 month On £7440 at 6% for 2 month = = = = = On £4200 at 9.1% for 1 month On £8520 at 4.5% for 8 month = = (a) (b) (c) (d) (e) (f) (g) Next 01234 56789 C. ÷x 0 + On ² - Ans = √ (-) = = = = = = = Start Interest due 3, 4 or 6 Months Show Ans C

11. 0 123 456 789 C. ÷ x 0 + On ² - Ans = √ (-) 01234 56789 C. ÷x 0 + On ² - Ans = √ (-) Test

12. r = 16 ; s = 65 r = 7 ; s = 25 r = 18 ; s = 82 r = 10 ; s = 26 r = 12 ; s = 37 = = = = = r = 11 ; s = 61 r = 13 ; s = 85 = = (a) (b) (c) (d) (e) (f) (g) V= Next