Calculate the due interest earned by a principal (initial amount of money lent, deposited or borrowed) of 1,000 units (Dollar, Euro, Pound, etc.), from date: May 5, 2012, to date: Jun 30, 2012, namely for a period of 56 days (1 Month and 25 Days), with an annual simple flat interest rate of 7.59% if the commission fee (withdrawal or payment) is 0%.

Principal (initial amount), P = 1,000


Annual simple interest rate, R = 7.59%


From date: May 5, 2012


To date: Jun 30, 2012


Duration, T = 56 days (1 Month and 25 Days)


Commission fee (withdrawal or payment), F = 0%


No. of days in a year, N = 365


I = Simple interest:

I = (P × R × T) ÷ N =


(1,000 × 7.59% × 56) ÷ 365 =


(1,000 × 7.59 × 56) ÷ (365 × 100) =


425,040 ÷ 36,500 ≈


11.644931506849 ≈


11.64

B = Amount earned:

B = P + I =


1,000 + 11.644931506849 =


1,011.644931506849 ≈


1,011.64

Signs: % percent, ÷ divide, × multiply, ≈ approximately equal;

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Calculate simple flat rate interest on a principal borrowed, lent

Simple flat rate interest = (Principal × Annual simple flat interest rate × Duration in days) ÷ Number of days in a year

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