Simple Interest Formula

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This is an example of simple interest formula. This document is useful for studying simple interest formula.

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Simple Interest Formula The simple interest Formula is given by formula I = p·r·t Where I = interest, p = principal, r = interest rate per year and t = time in years. Principal $21,525 $23,235 Depreciation Rate 18% 15% Interest Rate 3.5% 4.95% 1. Volkswagen 2. Honda 3. Jetta Civic Hybrid SHOW ALL WORK: Calculate the total interest amount for a 5-year payment plan for each car. Divide the total interest into 60 monthly payments. Jetta 1a. Interest: Civic Hybrid 2a. Interest: 1b. Interest per month: 2b. Interest per month: 3. Car price + Interest = ______________ 4. Car price + interest = ____________ 5. Monthly payment = ______________ 6. Monthly payment = _____________ *Car of your choice: ____________________ * optional for HP credit DEPRECIATION RATES CAR: ____________________ Depreciation rate to use in equation: 100% Change window settings to: Xmin = - 5 Xmax = 10 Xscl = 1 Ymin= -4,000 Ymax = 20,000 Yscl =2,000 Xres=1 = Depreciation Rate: ______________ Equation: y = a * b^x Copy table of data: ______________________ In 2008 the car is worth: _____________ In 2012 the car will be worth: __________ In 2017, the car will be worth: ___________________

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