PART I. COMPREHENSION: (3 Marks)

Direction: Read, understand, and answer the following question. (1x3=3 Marks)

1. Using your own words define and compare between simple interest and simple discount.

PART II. PROBLEM SOLVING: (15 Marks)

Direction: Read, understand, and solve the following questions. (5x3=15 Marks)

1. Find the exact and ordinary interest on BD 13000 for 740 days at 9% simple interest.

2. Find the interest and the maturity value on BD 9300 with 8% simple interest in 29 months.

3. How much months will it take for an amount of BD 71500 to earn BD 4500 as interest at 11% per year of simple interest?

4. How much Simple Interest can a person have on BD 11500 at 11.5% simple interest rate for a period of 8 years and 9 months?

5. Noor borrowed BD 28000 for 35 months and had to pay BD 6400 simple discount at the end of that time. What rate of discount did she pay?