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Simple Interest Worksheet

A Grade 11 math worksheet covering simple interest calculations, including finding interest, principal, rate, and time.

Grade 11 Math Financial LiteracySimple Interest
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Includes

2 Short AnswerFill in the BlanksMultiple ChoiceTrue / False

Standards

CCSS.MATH.CONTENT.HSA.CED.A.1CCSS.MATH.CONTENT.HSF.IF.A.1
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Simple Interest Practice

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Read each question carefully and show all your work. Use the formula I = PRT where I = Simple Interest, P = Principal, R = Annual Interest Rate (as a decimal), and T = Time (in years).

1. Calculate the simple interest earned on a principal of $5,000 at an annual interest rate of 4% for 3 years.

2. What is the simple interest on a loan of $12,000 at 6.5% for 18 months?

3. If the simple interest earned is $200 on a principal of $2,500 at a rate of 5%, the time period was   years.

4. An investment of $10,000 earned $1,500 in simple interest over 3 years. The annual interest rate was  %.

5. What principal amount would earn $450 in simple interest at an annual rate of 3% over 5 years? The principal is $ .

6. Which of the following statements is true about simple interest?

a

It is calculated on the principal amount only.

b

It is calculated on the principal plus accumulated interest.

c

It is always higher than compound interest.

d

It is not affected by the interest rate.

7. When calculating simple interest, the time (T) must always be expressed in years.

T

True

F

False

8. Simple interest is a common calculation for short-term loans.

T

True

F

False

9. Sarah invested $7,500 in a savings account that pays 2.5% simple interest annually. How much money will be in her account after 4 years?

10. John borrowed $20,000 from a bank at a simple interest rate of 7% per year. If he paid back a total of $27,000, for how long did he borrow the money?