"Simple Interest" is as Easy as 1,2,3

I found that the word interest originates from the Latin word intereo, which means 'to be lost'. Interest is then developed from the concept that lending money results in loss to the lender.
The study of interest is very important and fundamental to the understanding of the economy of a country. For me, its such an easy chapter which i learn in business mathematics (MAT108) chapter 2.

For your information,the formula used in this chapter is :
1) I = Prt
2) S = P + I
3) S = P(1 + rt)

Where,
I = simple interest
P = principal
r = rate of simple interest
t = time or term in years

OK, i will show you some example :
Samad is investing RM7000 for 3 years 6 months in a Sakai Bank. The interest rate is 10% per annum.
So that we just need to find the simple amount at the end of the investment period.The solution is -------> Here,
P = RM10,000
r = 10%
t = 3.5 years

From I = Prt, we get
I = 10,000 x o.1 x 3.5
= RM3,500

From S = P + I, we get
S = 10,000 + RM3,500
= RM13,500

OR

From S = P(1 + rt),we get
S = 10,000 (1+0.1+3.5)
= Rm13,500