Grade 12 Math Literacy: Finance Formulas

Finance Formulas

• Simple Interest: Interest = P × r × t, where P is the principal amount, r is the interest rate, and t is the time period.
• Compound Interest: A = P (1 + r/n)^(nt), where A is the amount of money accumulated, P is the principal amount, r is the annual interest rate, n is the number of times interest applied per time period, and t is the time the money is invested or borrowed for.
• Loan Repayments: R = P × i / (1 - (1 + i)^(-n)), where R is the monthly repayment, P is the principal loan amount, i is the monthly interest rate, and n is the number of payments.

Measurement Formulas

• Area of a Rectangle: A = l × w, where A is the area, l is the length, and w is the width.
• Volume of a Cylinder: V = π × r^2 × h, where V is the volume, r is the radius of the base, and h is the height of the cylinder.
• Surface Area of a Sphere: SA = 4 × π × r^2, where SA is the surface area, and r is the radius.

Examples

Simple Interest

• Calculate the simple interest on a loan of R10,000 at an interest rate of 5% per annum for 3 years: Interest = R1,500.
• Find the total amount after 4 years if R8,000 is invested at 6% per annum: Total Amount = R9,920.

Compound Interest

• Calculate the amount of an investment of R5,000 at an annual interest rate of 4%, compounded monthly, after 5 years: Amount = R6,107.
• If R2,000 is invested at 8% per annum compounded quarterly, what will be the value after 3 years: Amount = R2,536.

Loan Repayments

• Determine the monthly repayment for a R100,000 loan at an annual interest rate of 6%, to be repaid over 20 years: Monthly Repayment = R1,654.
• Calculate the monthly installment for a loan of R250,000 with a 9% annual interest rate over 15 years: Monthly Repayment = R4,556.

Measurement

• Calculate the area of a rectangle with length 8m and width 5m: Area = 40m².
• Find the volume of a cylinder with a radius of 7cm and a height of 10cm: Volume = 1,538cm³.
• Determine the surface area of a sphere with a radius of 6m: Surface Area = 452m².

Finance Formulas

• Simple Interest: Interest = P × r × t, where P is the principal amount, r is the interest rate, and t is the time period.
• Compound Interest: A = P (1 + r/n)^(nt), where A is the amount of money accumulated, P is the principal amount, r is the annual interest rate, n is the number of times interest applied per time period, and t is the time the money is invested or borrowed for.
• Loan Repayments: R = P × i / (1 - (1 + i)^(-n)), where R is the monthly repayment, P is the principal loan amount, i is the monthly interest rate, and n is the number of payments.

Measurement Formulas

• Area of a Rectangle: A = l × w, where A is the area, l is the length, and w is the width.
• Volume of a Cylinder: V = π × r^2 × h, where V is the volume, r is the radius of the base, and h is the height of the cylinder.
• Surface Area of a Sphere: SA = 4 × π × r^2, where SA is the surface area, and r is the radius.

Examples

Simple Interest

• Calculate the simple interest on a loan of R10,000 at an interest rate of 5% per annum for 3 years: Interest = R1,500.
• Find the total amount after 4 years if R8,000 is invested at 6% per annum: Total Amount = R9,920.

Compound Interest

• Calculate the amount of an investment of R5,000 at an annual interest rate of 4%, compounded monthly, after 5 years: Amount = R6,107.
• If R2,000 is invested at 8% per annum compounded quarterly, what will be the value after 3 years: Amount = R2,536.

Loan Repayments

• Determine the monthly repayment for a R100,000 loan at an annual interest rate of 6%, to be repaid over 20 years: Monthly Repayment = R1,654.
• Calculate the monthly installment for a loan of R250,000 with a 9% annual interest rate over 15 years: Monthly Repayment = R4,556.

Measurement

• Calculate the area of a rectangle with length 8m and width 5m: Area = 40m².
• Find the volume of a cylinder with a radius of 7cm and a height of 10cm: Volume = 1,538cm³.
• Determine the surface area of a sphere with a radius of 6m: Surface Area = 452m².