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Lesson details

Key learning points

  1. In this lesson, we will learn about calculating simple interest. We will investigate what the term means, and learn how to calculate it and solve problems.

Licence

This content is made available by Oak National Academy Limited and its partners and licensed under Oak’s terms & conditions (Collection 1), except where otherwise stated.

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4 Questions

Q1.
If 20% of a number is 32, find 100%
Correct answer: 160
320
62.5
640
Q2.
If 7% of a number is 14, find 100%
100
140
Correct answer: 200
70
Q3.
A shop has a sale with 10% discount on all items. If a coat costs £45 in the sale. What was its original price?
£40
£49.50
Correct answer: £50
£55
Q4.
Tim is a car salesman. He bought a car for £5000. Currently he is holding a sale with 35% off the price of all cars. Tim wants to sell the car so that he makes a 10% profit on the price he paid. How much should Tim advertise the car for?
£3461.54
£5500
£7250
Correct answer: £8461.54

3 Questions

Q1.
£7000 is invested at 6% simple interest. How much interest will be earned in 4 years?
Correct answer: £1680
£420
£7420
£8680
Q2.
£2000 is invested at 3.5% simple interest. How much will the investment be worth after 5 years?
£2070
Correct answer: £2350
£350
£70
Q3.
Q3) A Fitness instructor wants to earn £500 in interest over the next two years. If they can invest their money at 7% per annum, how much do they need to invest to earn the £500?
£1000
£3000
£3075.43
Correct answer: £3571.43