Simple Interest (S.I.)

Simple interest is determined by multiplying the daily interest rate by the principal by the number of days elapsed between payments. It is a simple and effective method of calculating the returns on a given principal amount.

Concepts

Formulas

Practice Questions

Real-Life Applications of Simple Interest (S.I.)

Real-life examples where the concept of Simple Interest (S.I.) is involved are:

Application 1:

Imagine you purchase stocks in a company named ITC for Rs.1,000,000, and the business pays a 10% yearly dividend. In how many years would you earn approximately twice the money in returns?

Application 2:

Consider that you have lent Rs.2,00,000 to someone at an interest rate of 2% S.I per month. How much money will you receive as interest at the end of 8 months?

Simple Interest (S.I.) Aptitude Resources

The resources mentioned below can help you with your Simple Interest aptitude preparation.

1. Concepts

Learn important concepts related to Simple Interest. Once you begin comprehending what has to be assessed, you develop a better understanding of the nature of the questions.

2. Formulas

Learn important formulas linked to the Simple Interest problems that can help you answer the questions quickly and develop a greater understanding of the concepts.

3. Practice Problems

Practice sample problems related to the Simple Interest topic. A candidate is more likely to comprehend the concept and improve their speed and precision the more questions they practice.

FAQsFAQs

How important is Simple Interest topic in placement examinations?

Simple Interest topic carry medium weightage in the Quantitative Aptitude examinations.

Is Simple Interest difficult to learn?

No, Simple Interest topic is not difficult to understand. Students must practice Simple Interest on a daily basis and memorise formulas to address the problems accurately. Students must also learn different shortcuts & tricks to improve their solving speed.

What is the fastest and most effective way to learn the Simple Interest topic?

Students must understand the foundations and formulas of Simple Interest. They should be informed of the shortcuts and tricks for various types of questions on the topic. They must practice on a daily basis before taking a weekly mock exam.