Question

How to convert months into years in simple interest?

Answer 1

Answer:

month is divided by 12to convert

into year

Answer 2

Convert months into years in simple interest by dividing it by 12.

• Simple Interest (S.I.) is the method of calculating the interest amount for a particular principal amount of money at some rate of interest.
• Simple interest is calculated once annually based on the principal balance only.
• Simple Interest is calculated using the following formula:

SI = P × R × T

where P = Principal, R = Rate of Interest, and T = Time period.

• In simple interest when the time is given in months and days we always need to convert it into years.
• When “T' i.e., the time is given in months then it should be divided by 12 to convert into years.
• When “T' i.e., the time is given in days then it should be divided by 365 to convert into years.

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