Quantitative aptitude · lesson 14 of 30 · free

Simple interest — Quantitative aptitude for kids

When you keep money in a bank or borrow it, interest is paid for using the money. Simple interest is the same every year: principal (P) × rate (R% per year) × time (T years) ÷ 100.

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The method

PRT over 100 — “interest = principal × rate × time ÷ 100; turn it round to find P, R or T”

  1. SI = P × R × T ÷ 100. Amount = P + SI.
  2. Rate R = SI × 100 ÷ (P × T).
  3. Time T = SI × 100 ÷ (P × R).
  4. Principal P = SI × 100 ÷ (R × T).

Use it for: Bank savings, loans, fixed deposits, and interest questions in Class 7–8 and aptitude tests.

🧮 Check your own sums with the free Simple interest calculator — it shows the working.

Worked example: Find the simple interest on ₹5000 at 8% per year for 3 years (in ₹). → 1200

  1. SI = 5000 × 8 × 3 ÷ 100.
  2. 120000 ÷ 100 = ₹1200.

Check: 8% of ₹5000 = ₹400 a year, and 3 × 400 = ₹1200 ✓

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✓ Written and checked by the TalentJR team · Updated 13 Oct 2026 · How we make our lessons

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🖨️ Simple Interest Worksheet

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