Chapter 5: Simple Interest: Working with Single Payments and Applications
Outline of Chapter Topics
5.2 Moving Money Involving Simple Interest
Learning Objectives
- Demonstrate the concept of simple interest.
- Determine the number of days between two calendar days using the pre-programmed financial calculator method.
- Calculate the amount of interest, principal, time, interest rate, and maturity value of investments and loans.
- Calculate equivalent payments that replace another payment or a series of payments.
- Use simple interest in solving problems involving business applications such as savings accounts, short term guaranteed investment certificates (GICs), treasury bills, and commercial paper.
Attribution
“Chapter 8” from Business Math: A Step-by-Step Handbook Abridged by Sanja Krajisnik; Carol Leppinen; and Jelena Loncar-Vines is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License, except where otherwise noted.
