It may be helpful to organize the information by listing all four variables and filling in the given information. Thus simple interest for a year SI P R T 100 1000 100 1 100 Rs 1000. I P x R x T.
Rate of interest per year R 10.
How to calculate simple interest You figure simple interest on the principal which is the amount of money borrowed or on deposit using a basic formula. The mathematical equation for calculating simple interest is However banks typically charge compound interest on loans. This time period usually would be in years. Find the interest earned.