1.1 Interest Calculations

 
Percent interest rate = interest accrued per unit time x 100%
                                                        original amount

Example

Invested $150,000 on March and withdrew a total of $159,750 exactly one year later.

Interest = 159,750-150,000 = $9,750

Percent interest rate = 9,750 x 100% = 6.5% per year
                                                     150,000