Grade 9 Finance Summary Notes

Grade 9 Finance
Summary




Simple Interest 2
Compound Interest 3
Compound intervals 4
Inflation 5
Depreciation 6

, Simple Interest
- Interest is calculated on the principal amount EVERY year.

The final amount after the investment/loan period is given by the formula:
A = P (1 + i n)

A = final amount
P = initial amount / loan amount
i = interest rate expressed as a decimal (divide rate by 100)
n = investment / loan period



How to find the amount of simple interest gained (investment) or paid
(loan)
- To only find the Simple Interest after an investment / loan period:
Simple interest = P x i x n = Pin

- If you first found the Final Amount after an investment / loan by the
following formula
A = P (1 + i n)

>> THEN APPLY THE FOLLOWING FORMULA:
Simple interest = Amount - Principal
SI = A - P