Simple interest
Input(s)
P: Principal Amount (currency unit)
\(\mathrm{t}\): Time (12 months or 360 days)
r: Interest Rate per Period (fraction)
Output(s)
SI: Simple interest (currency unit)
Formula(s)
\[
\mathrm{SI}=\mathrm{P} * \mathrm{r} * \mathrm{t}
\]
Reference(s)
Mian, M. A. 2011. Project Economics and Decision Analysis Volume 1: Deterministic Models, Second Edition. Tulsa, Oklahoma: PennWell Corporation. Chapter 2, Page: 39.