What is Simple Interest? Definition, Formula, and Examples Story by [email protected] (Libby Kane, CFEI) • 7mo ...

The formula for simple interest requires your initial principal balance, annual interest rate, and time in years. Alyssa Powell/Insider Variables in a formula To use a simple interest calculator ...

The formula for simple interest is principal times the interest rate times the period. Usually period is expressed as a fraction of 12. For example, one month of interest will be 1/12.

Here’s how a simple interest calculator work A simple interest rate calculator has a formula box, as described above. The inputs entered here are used in the mathematical formula: A = P (1+rt), where ...

Therefore, the simple interest on Rs. 78,000 at 10% per annum for 9 years will be Rs. 70,200. So, now you know that calculating Simple Interest is as easy as ABC.