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LAS - Gen Math Week 1

This document provides a learning activity sheet on simple and compound interest for 11th grade business math students. It defines simple and compound interest, illustrates examples of each, and includes worksheets for students to practice calculating simple and compound interest over various time periods and interest rates. The activity sheet is designed to help students understand the difference between simple and compound interest and be able to calculate both.

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Wilmar Espinosa
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© © All Rights Reserved
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0% found this document useful (0 votes)
552 views9 pages

LAS - Gen Math Week 1

This document provides a learning activity sheet on simple and compound interest for 11th grade business math students. It defines simple and compound interest, illustrates examples of each, and includes worksheets for students to practice calculating simple and compound interest over various time periods and interest rates. The activity sheet is designed to help students understand the difference between simple and compound interest and be able to calculate both.

Uploaded by

Wilmar Espinosa
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Republic of the Philippines

Department of Education
Region XIII-CARAGA REGION
SCHOOLS DIVISION OF SURIGAO DEL SUR
Lanuza District
Grade Level: 11 Discipline: Business Math
Subject Area: General Mathematics Topic: Simple and Compound Interests
Quarter : First Week: 1 - January 4-8, 2021

Learning Activity Sheets


(IPO Format)

MOST ESSENTIAL LAERNING COMPETENCY (MELC no.1 & 2)


 Illustrate Simple and Compound Interest (Quarter 2, Week 1): LC Code: M11GM-
11a-1
 Distinguishes Between Simple and Compound Interest (Quarter 2, Week 1): LC
Code: M11GM-11a-2

Objectives:
K-1. Illustrate Simple and Compound Interest.
2. Distinguish between Simple and Compound Interest.
S- Calculate Simple and Compound Interest problems.
A- Value the importance of Simple and Compound Interest.

INPUT: (Refer to Worksheet)


PROCESS: (Refer to Worksheet)
OUTPUT: (Refer to Worksheet)

Prepared by: Checked & Reviewed by:


WILMAR N. ESPINOSA ANTONIO A. HINAYON
Writer Validator

Verified by: Approved by:

FLORDELIS C. URQUIZA ANALYN R. TEVES


Teacher III Dist. Math Coor.
Grade Level: 11 Discipline : Business Math
Subject Area: GEN.MATH Topic: Simple and Compound Interest
Quarter : First Week: 1 / January 4-8, 2021

LEARNER’S WORKSHEET NO. 1

INPUT: Background of the Study

Interest is the fee paid for borrowed money. We receive interest when we let others
use our money (for example, by depositing money in savings account or making a loan).
We pay interest when we use other people’s money (such as when we borrow from a
bank or a friend). It is usually expressed as a percentage either simple or compounded.
You might ask a question like this, am I a Receiver or a Payer? Also, what kind of
interest will I take? Simple interest or Compound interest?

In this chapter we will study simple and compound interest. Simple interest is an
interest that is computed on principal and then added to it, while Compound interest is
computed on the principal and also on the accumulated past interests. Maturity Value is
computed by adding the interest on the principal.

We provided you this learning activity sheet because we will try to illustrate first
how simple interest and compound interest differ. But, before that let us take some
examples of illustrating simple and compound interest and how it is computed.

So, hopefully you will always find interest in mastering the stuff in this chapter and do
not forget to practice proper hygiene.

Example:

Suppose you won P5,000.00 and you plan to invest it for 5 years. A corporate
group offers 2% simple interest rate per year. A bank offers 2% compounded annually.
Calculate the amount of interest from a corporate group and a bank.

Simple Interest

Given:
Principal = P5,000.00
Rate = 2% or 0.02(2/100) annually
Time = 5 years

Solution:
P 5,000.00× 0.02× 5=P 500.00

Computing the Maturity Value we have,

P 5,000.00+ P500.00=P5,500.00

Having the principal amount invested from the corporate group that offers 2% or
0.02 per year then you will have P500.00 as the interest. Therefore, in 5 years of
investment you will get a total amount of P5,500.00. That is how Simple Interest works.
Compound Interest

Given:
Principal = P5,000.00
Rate = 2% or 0.02 (2/100)
Time = 1 (compounded annually)

Solution:
Since, it is compounded annually so it will go like this;

Year 1: P 5,000.00× 0.02× 1=P 100.00


Maturity Value: P 5,000.00+ P100.00=P5,100.00

Year 2: P 5,100.00× 0.02× 1=P 102.00


Maturity Value: P 5,100.00+ P102.00=P5,202.00

Year 3: P 5,202.00× 0.02× 1=P 104.04


Maturity Value: P 5,202.00+ P104.04=P 5,306.04

Year 4: P 5,306.04 ×0.02 ×1=P 106.1208


Maturity Value: P 5,306.04+ P 106.1208=P 5,412.1608

Year 5: P 5,412.1608× 0.02× 1=P 108.24322


Maturity Value: P 5,412.1608+ P 108.24322=P 5,520.40402∨P 5,520

Thus, you will end up a total amount of P5,520.40402 or P5,520.00 which is


compounded annually with a rate of 2% in 5 years.

We could also illustrate this using a table,

Simple Interest Compound Interest


Year Principal
Principal Interest
Interest
(Your
(YourMoney)
Money)
1 P5,000.00 P100.00
2 P5,000.00 P100.00
3 P5,000.00 P100.00
4 P5,000.00 P100.00
5 P5,000.00 P100.00
Total P5,000.00 P500.00
Your Money
MV P 5,000.00+ P500.00=P5,500.00
Year
1 P5,000.00 P100.00
2 P5,100.00 P102.00
3 P5,202.00 P104.04
4 P5,306.04 P106.1208
5 P5,412.1608 P108.24322
Total P5,000.00 P520.40402
Your Money
MV P 5,000.00+ P520.40402=P 5,520.40402

Guide Question:

 Which offer will you take? Is it in a Corporate group or in a Bank? Why?

Process:

Activity 1: Check My Understanding!


Direction: Determine whether each problem involve simple interest or compound
interest. Put a check (/) in the column.

Simple Interest Compound Interest


1. Mr. Rollo invested
P50,000.00 to an
account that pays 4%
annually. How much
is the amount interest
at the end of the
year?
2. What is the interest
rate, is being charge if
Lagertha applies a
loan amounting to
P60,000.00 and pays
interest of P9,000.00
in 3 years?
3. What is the interest of
P38,000.00 if invested
at 4% compounded
annually in 2 years?
4. What is the future or
mutual value of
P18,000.00 at 6% in
2 years compounded
semi-annually?
5. What are the rate of
interest and maturity
value of P28,000.00 if
it earns P2,240.00 in
a year?
Activity 2: Try to Complete Me!
Directions: Illustrate simple and compound interest by completing the given table.

SIMPLE INTEREST (Annual)

Time Principal (P) Interes Amount after t


(t) t Rate Simple Interest (I) years
I SOLUTION ANSWER (maturity value)

1 P 5,000 4% P 5,000.00 (0.04) P 200.00 P5,000.00 +


(1) P200.00 =
P5,200.00
2 P 5,000 4% P 5,000.00 (0.04) P 400.00 P5,000.00 +
(2) P400.00 =
P5,400.00
3 P 5,000 4% P 5,000.00 (0.04) P 600.00 P5,000.00 +
(3) P600.00 =
P5,600.00
4 P 5,000 4% P 5,000.00 (0.04) P 800.00 P5,000.00 +
(4) P800.00 =
P5,800.00
5
6
7
8

COMPOUND INTEREST (Annual)

Time Amount at the start Rate Compound Interest Amount after t


(t) of year t I SOLUTION ANSWER years
(maturity value)
1 P5,000.00 4% P5,000.00 (0.04) (1) P200.00 P5,000.00 +
P200.00 =
P5,200.00
2 P5,200.00 4% P5,200.00 (0.04) (1) P208.00 P5,200.00 +
P208.00 =
P5,408.00
3 P5,408.00 4% P5,408.00 (0.04) (1) P216.00 P5,408.00 +
P216.32 =
P5,624.32
4
5
6
7
8

Output: Dig Deeper!

Directions: Analyze and illustrate the given situation using the table provided and
answer the questions that follow.

1. Suppose you want to invest php 10,000.00 in the bank for 6 years. The Land Bank
of the Philippines (LBP) offers 12% annual simple interest rate per year. The East
West Bank offers 12% compounded annually.

SIMPLE INTEREST (ANNUAL)

Time Principal (P) Interes Amount after t


(t) t Rate Simple Interest (I) years
I SOLUTION ANSWER (maturity value)

1
2
3
4
5
6

COMPOUND INTEREST (ANNUAL)

Time Amount at the start Rate Compound Interest (Ic) Amount after t
(t) of year t I SOLUTION ANSWER years
(maturity value)
1
2
3
4
5
6

Please answer these Questions:

1. Which Bank will you choose to invest your money? WHY?

2. What is the difference between the simple interest and compound interest based
on the activity you had?

3. How do you find simple interest? Express your answer using symbols or in
formula.
4. How do you find compound interest? Express your answer using symbols or in
formula.

Reflection:
1. How did you find the activity?
______________________________________________________________________________
___________________________________________________________________________.

If you have some questions or queries, you may contact


me at my FB account [email protected] or
09385083167. Thank You! – Wilmar Espinosa Congratulations! You are
done!

References:

DepEd General Mathematics Learner’s Material (PDF)


DepEd Regional Office No. 02 (Cagayan Valley)
Regional Government Center, Carig Sur, Tuguegarao City, 3500
www.investopedia.com
CHED.GOV.PH K-12 Teacher’s Resource Community
Answer’s Key
Activity 1.

Item number Simple Interest Compound Interest


1 /
2 /
3 /
4 /
5 /

Activity 2.
SIMPLE INTEREST (Annual)
Time Principal Interest Simple Interest Amount after t years
(t) (P) Rate (r) (maturity Value)
Solution Answer
5 P 5,000.00 4% P 5,000.00 P 1,000.00 P5,000.00+1,000.00
(0.04)(5) =P 6,000.00
6 P 5,000.00 4% P 5,000.00 P 1,200.00 P5,000.00+1,200.00
(0.04)(6) =P 6,200.00
7 P 5,000.00 4% P 5,000.00 P 1,400.00 P5,000.00+1,400.00
(0.04)(7) =P 6,400.00
8 P 5,000.00 4% P 5,000.00 P 1,600.00 P5,000.00+1,600.00
(0.04)(8) =P 6,600.00

COMPOUND INTEREST (ANNUAL)


Time Amount at Rate Compound Interest Amount after t years
(t) the start of (r) (maturity Value)
year t Solution Answer

5 P5,849.29 4% P 5,849.29 P 233.97 P 5,849.29+ 233.97


(0.04)(1) = P 6,083.26
6 P6,083.26 4% P6,083.26 P 243.33 P 6,083.26+ 243.33
(0.04)(1) = P 6,326.59
7 P6,326.59 4% P 6,326.59 P253.06 P 6,326.59 +253.06
(0.04)(1 = P6,579.65
8 P6,579.65 4% P P6,579.65 P263.19 P6,579.65+ 263.19
(0.04)(1 =P 6,842.84

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