If the principal is RM500, the rate of interest is 8%, and the time is 2 years, what is the simple interest?
To calculate the simple interest, you can use the formula:
Simple Interest = (Principal × Rate × Time) / 100
Substitute the given values into the formula:
Simple Interest = (500 × 8 × 2) / 100
Simple Interest = (8000) / 100
Simple Interest = 80
Therefore, the simple interest is RM80.