Mathematics
Grade-7
Easy
Question
_______ is the interest on £1200 principal at 2% per year for 10 years.
- 120
- 240
- 165.8
- 178.9
Hint:
The interest rate can be found by finding the difference between the principle amount and the final amount.
When you substitute the interest rate in the equation, make sure it is fraction form.
The correct answer is: 240
Simple interest, I = PRT
P=£1200, r=2%= 0.02 and t= 10 years. Substituting the values, we get:
I = 1200 × 0.02 x 10 = £ 240
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