Maths Comparing Quantities part 11 (Simple Interests) CBSE Class 8 Mathematics VIII  Summary and Q&A
TL;DR
This video explains the concept of simple interest and how to calculate it, using a practical example.
Key Insights
 π °οΈ There are two types of interest: simple interest and compound interest.
 β Simple interest is calculated only on the principal amount, while compound interest includes accumulated interest.
 βΊοΈ The formula for simple interest is Principal x Rate x Time / 100.
 β The longer the time period, the higher the amount of simple interest.
 π¦ Simple interest is not commonly used for loans and deposits at banks.
 β Compound interest is more commonly used as it considers the accumulation of interest.
 β The principal amount is the initial investment or borrowed amount.
Transcript
hello friends this video on comparing quantities but 11 is brought to you by example.com no more fear from exam now what are the different ways of calculating interest so there are two different types of interests that can be calculated one is simple English and the other one is of bound interest so let us first talk about simple interest so I am p... Read More
Questions & Answers
Q: What is the difference between simple interest and compound interest?
Simple interest is calculated only on the principal amount, while compound interest is calculated on both the principal amount and any accumulated interest. Compound interest takes into account that interest is added to the principal over time.
Q: How is simple interest calculated?
Simple interest is calculated using the formula Principal x Interest Rate x Time / 100. The principal is the initial amount, the interest rate is given in percentage, and the time is the duration for which the principal is borrowed or invested.
Q: Does the time period affect the amount of simple interest?
Yes, the longer the time period, the higher the amount of simple interest. This is because the interest is calculated based on the principal amount, and as time increases, the interest accumulates.
Q: Can simple interest be used to calculate loans and deposits at banks?
Simple interest is not commonly used for loans and deposits at banks. Compound interest is typically used in these cases, as it takes into account the accumulation of interest over time.
Summary & Key Takeaways

The video discusses two types of interest: simple interest and compound interest.

Simple interest is calculated only on the principal amount, not on any accumulated interest.

The formula for calculating simple interest is Principal x Rate x Time / 100.