The DAV Books Solutions Class 5 Maths and DAV Class 5 Maths Chapter 13 Worksheet 1 Solutions of Simple Interest offer comprehensive answers to textbook questions.
DAV Class 5 Maths Ch 13 Worksheet 1 Solutions
Question 1.
Fill in the blanks.
(a) The money deposited in a bank is called __________
Solution:
Principal
(b) The extra money paid by the bank is called __________
Solution:
Interest
(c) The period of time for which money is kept in a bank is called __________
Solution:
Time
(d) The money borrowed from a bank is called __________
Solution:
Principal (loan)
(e) Extra money charged by the bank for every hundred rupees deposit is called __________
Solution:
Interest
DAV Class 5 Maths Chapter 13 Worksheet 1 Notes
- Principal: Money deposited in a bank is called Principal.
- Interest: The extra money paid by the bank is called Interest.
- Time: The period of time after which money is withdrawn is called time.
- Rate of Interest: The extra money paid by the bank for every ₹ 100 after one year is called the Rate of Interest.
- The bank also gives a loan. A person has to return it within a certain time limit alongwith some interest charged by the bank.
- Here, the money borrowed (loan) is the Principal and the extra money to be paid is called the interest.
- The bank utilizes the money deposited in the form of loans to customers or invests in some project. The bank earns interest on the same.
- Simple Interest = Principal × Rate of Interest × Time
- Amount = Principal + Interest
- Principal = Amount – Interest
- Interest = Amount – Principal