Republic of the Philippines

Department of Education
N a t i o n a l Ca pi t a l Re g i o n
Sc h o o l s D i v i s i o n O f f i c e o f La s Pi ñ a s Ci t y

NAME: ___________________________________________ Score: ___________________

GRADE & SECTION __________________________ Teacher: ___________________

MODULE IN MATHEMATICS 11
GENERAL MATHEMATICS Second Quarter
Week 1 - Day 1

MOST ESSENTIAL LEARNING COMPETENCY

Illustrate simple and compound interest (M11GM-IIa-1)
OBJECTIVES
• Define simple and compound interest
• Illustrate simple and compound interest

WHAT I KNOW
Directions: Read each item carefully. Write the letter of the correct answer on your
notebook.

1. It is interest applied only to the principal amount.

A. Simple interest B. Compound interest C. Rate D. Time
2. The interest is being applied both to the accumulated interest and the principal amount.
A. Rate B. Compound interest C. Maturity D. Time
3. Rates with 5% compounded daily in 1 year will yield a smaller amount compare to rate with 514%
compounded annually. What type of interest is used in the given question?
A. Simple Interest B. Interest Rate C. Compounded Interest
D. Annuity
4. Mrs. Makabuhay invest ₱20,000 in her savings account. He earns an interest of 10% (or ₱2,000)
every month. After five months, she earned ₱10,000 in interest. This is an example of
A. Simple Interest B. Interest Rate C. Compounded
D. Annuity
5. In simple interest formula which is I = Prt, P represents the principal amount. The principal is
A. The amount of money borrowed or deposited B. The amount in your
cooperative bank you buy as a customer C. The amount taxed by the government D.
The amount you earned as an investor

WHAT’S IN
• Interest (I) amount paid or earned for the use of money.
• Rate (r) - annual rate, usually in percent, charged by the lender, or rate of increase of
the investment.
• Principal (P) - amount of money borrowed or invested o the origin date
• Time or term (t) - amount of time in years the money is borrowed or invested; length of time between the origin and
maturity dates.  Amount - The sum of both principal and their interest.
• Maturity value or future value (F) - amount after t years; the lender receives from the borrower on the
maturity date
• Borrower or debtor - person (or institution) who owes the money or avails of the funds from the
lender
• Simple interest (Is) - interest that is computed on the principal land then added to it the amount
of interest paid for each period remains the same.
• Compound Interest (Ic) - interest is computed on the principal and also on the accumulated past
interests. This means that the amount of interest to be paid increases every period.
• Simple Interest Formula: I = Prt
Where I – Interest P – Principal r – rate t – time
• Compound interest formula 𝐀 = 𝐏(𝟏 + 𝐫)𝐭
Where r – Interest rate P – Initial Principal Balance A – Final
amount t – number of time period elapsed n – number of
times interest applied per time period

WHAT’S NEW
Example: Suppose Mayor Aguilar gave you ₱5,000 as an awardee and you plan to
invest it for 3 years. Las Pinas Cooperative offers 3% simple interest per year. East
West bank offers 3% compounded annually. Which will you choose and why?
Solution : Investment 1: Simple interest, with annual rate r
Time (t) Principal (P) Simple interest Amount after t years
Solution Answer (Maturity Value)
1 5,000 (5,000) (0.03) (1) 150 5,000+150 =5,150
2 (5,000) (0.03) (2) 300 5,000+300 =5,150
3 (5,000) (0.03) (3) 450 5,000+450 =5,150
Investment 2: Compound interest, with annual rate r
Time Amount at Compound interest Amount at the end of year (t)
(t) the start of (Maturity Value
the year Solutions Answer
1 5,000 (5,000) (0.03) (1) 150 5,000 + 150 = 5,150
2 5,150 (5,150) (0.03) (2) 309 5,150 + 309 = 5,459
3 5,459 (5,459) (0.03) (3) 491.31 5,459 + 491.31=5,950.31
What is the total interest in investment number 1?

Simple interest ₱5,450 – ₱5,000 = ₱450 Compound interest ₱5,950.31 – ₱5,000 = ₱950.31

WHAT’S IS IT
Simple Interest: Mrs. Nancy invests ₱ 40,000 in her savings account. She earns an interest of
2% (or ₱ 800.00) every month.After a year, she earns ₱ 9,600. Notice that Mrs. Nancy
investment gives her earnings of ₱ 9,600 in one year or 12 months. Her earnings per month is ₱
800.00. The amount of interest paid for each period by the bank remains the same. When the
interest paid each period remains the same, this is a simple interest. Compound Interest: Mr.
Conrad invests ₱100,000 in a stock portfolio that earns 12% interest monthly. Interest that is not
withdrawn is considered as an additional investment. For the first three months, he earns
₱12,000, ₱13,400 and ₱ 13, 612.00 in interest, respectively, for a total of ₱ 39,012.8. What did
you notice about the interest earned by Mr. Conrad? Since Mr. Conrad did not withdraw his
monthly interest, his investment increases every period and his earned interest accumulates from
₱12,000 for the first month, ₱13,400 for the second month and ₱13, 612 for the third
month. This gives him an earned interest of ₱ 39,012.8. In compound interest, the
amount of interest to be paid increases every period. interest is computed on the
principal and also on the accumulated past interests.
 WHAT’S MORE
Don’t you know that compound interest is one of the basic building blocks in banking and
it is considered as one of the most powerful financial forces that will determine the
outcome of your expenses?
1. Does the amount of interest earn each year increase, decrease, or stay the same in…
a. a simple interest account? Explain your answer. b. a compound interest account?
Explain your answer.
2. Write the formula below
Simple Interest Compound Interest

WHAT I HAVE LEARNED

______is calculated based on its original or principal amount. On the other hand,
_____ is calculated based on the principal amount and the accumulated interest of the previous
period.
WHAT I CAN DO
Directions: Complete the crossword by filling in a word that fits each box.

ASSESSMENT
Directions: Read each item carefully. Write the letter of the correct answer on your notebook.
1. Ces went to Yashano Mall and saw a massage chair that she could have to take a loan at Manila
Teachers for P6500 to purchase. Manila Teachers said that she could get a simple interest rate of
8% for 10 years. This illustrates
A. Simple interest B. Compounded interest C. Annuities D. Interest
2. Suppose Myra borrows 500,000 for three years from her best friend, who agrees to charge Myra
an interest at 5% annually. Assume that the principal amount remains the same throughout three
years. What interest is reflected in the given scenario?
A. Simple interest B. Compounded interest C. Principal D. Rate
3. The two basically types of interest are A. More than Interest
B. Simple and continuous C. Simple and Compound D. Simple and Compounding
4. In compound interest, interest earns
A. Interest B. Percent C. Investment
D.Money
5. Simple interest is depending on rate or interest, time period and
A. Principle B. Principal C. Principles
D.Prinsiple
ADDITIONAL ACTIVITY
Do what is asked:
Set A: Using Venn diagram illustrate the similarities and
differences of simple and compound Interest.
Week 1 - Day 2
MOST ESSENTIAL LEARNING COMPETENCY
Distinguishes between simple and compound interests. (M11GM-IIa-2)
 OBJECTIVES
 Differentiate simple from compound interest
WHAT I KNOW
Directions: Read each item carefully. Write the letter of the correct answer on your notebook.
1. Jisele deposited Php 5, 000 at a bank with an annual interest rate of 3%. If She earns 450 after 3
years, what kind of interest is illustrated?
A. Simple interest B. Compound interest C. Rate D. Time
2. It is the original amount of money you owe.
A. Credit B. Maturity Value C. Rent D. Principal
Value
3. This is a thing that is borrowed, especially money, that is expected to be paid back with interest.
A. Debt B. Credit C. Debit D.
Interest
4. Interest is paid on the principal plus all of the accumulated interest that has previously been
earned.
A. Compound interest C. Simple Interest C. General D. Medium Interest
5. Interest that is merely paid on principal
A. Simple B. Compound C. Principal D. Interest

WHAT’S IN
How do we find the interest in a simple interest?
What is the formula of compound interest?

WHAT’S NEW
Simple Interest Compound Interest
Return for Provides low returns for the money Provides similarly high returns for the money lender
lender lender
Principal The principal is constant The principal keeps on changing due to addition of
accrued interest in the entire period
Growth Initial Value and the Interest growth The Interest and the initial amount growth is rapid and
remain constant. increases at a fast pace
Interest Interest is charge on the principal interest is charge on the principal and the interest
Charge amount only amount
Automobile loans or short-term personal loans are the ones that usually applies simple interest.

WHAT’S IS IT
Direction: Read each item carefully. Distinguished which of the given
situation gives simple interest by writing S and write C if it the given
interest is a compound interest on the space provided.
1. East west bank offers a cash loan for an annual interest of 8%. Mr. Zoe borrowed from the
bank an amount of
₱100,000 and paid a total amount of ₱108,000 at the end of the loan period. ___________
2. David invest an amount of ₱10,000 in a savings account that earns an interest of 5% or ₱500
every month. David was able to earned a total amount of ₱1,500 for three months. The total
 amount in his bank including the interest and the amount he invested is ₱11,500.
_________________________
3. Mrs Marife invest an amount of ₱10,000 to her best friend that earns 12 interest monthly.
Interest that is not withdrawn in her befriends business is considered an additional
investment. For the first two months, she earns
₱12,000, ₱13,400. ____________________________________________

WHAT’S MORE
Direction: Identify the type of interest used in each of the following situations.
1. Joshua invested ₱500,000 in a stock portfolio that earns 7% per month. He earned
₱35,000 after first month and ₱37,450 after the second month.
2. Sherwin receives ₱25,000 in interest for the investment he got from the local farmers
cooperative every two years.
3. Melvin borrowed ₱275,000 from Manila Teachers at 3% interest. He is paying the Manila
teachers ₱8,250 interest every year.

WHAT I HAVE LEARNED

Direction: Read each statement carefully and fill in the blank(s) with
the correct answer. 1. Simple interest is applied only to the
___________amount
2. _____________interest is applied both to the principal amount and the
accumulated interest.
3. Interest is the amount____________ for the use of money.
4. When it comes to buying anything that you wanted simple interest will be always
________compare to compound interest.
5. Investment in a compound interest is useful since it allows the fund to ______- at a faster
rate.

WHAT I CAN DO
Direction: Using double bubble map identify the
similarities and difference between simple
and compound interest. Write down the
similarities in the bubbles that are common to simple and
compound interest. Write down the differences radiating
from the center.

ASSESSMENT
Directions: Read each item carefully. Write the letter of the correct answer on your notebook.
1. Joan borrowed ₱150,000 from her sister where she needs to pay an interest of 1.5%
annually. She is paying ₱2,250 annually for two years. What type of interest is used
A. Simple interest B. Compounded interest C. Annuities D. Interest
2. Suppose Myra borrows ₱500,000 for three years from her best friend, who agrees to
charge Myra an interest at 5% annually. Assume that the principal amount remains
the same throughout three years. What is the principal indicated in the problem.
A. ₱500,000 B. 5% C. 3 years D. annually
3. Joan borrowed ₱150,000 from her sister where she needs to pay an interest of 1.5%
annually. She is paying ₱2,250 annually for two years. What was the rate given?
A. ₱150,000 B. 1.5% C. Annually D. Two
years
4. In compound interest, interest earns
A. money B. Percent C. Investment D.interest
5. Simple interest is depending on rate or interest, time period and
A. Time B. year C. Rate D.Principal

ADDITIONAL ACTIVITY
Set A Direction: Circle the 9 words listed below. Words appear straight across,
backward straight across, up and down, down and up, and diagonally. Check your work with the
answers below.

WORDS:

Amount
Compound
Simple
Interest
Principal
Time
Rate
Percent
period

Set B
1. Does the amount of interest earn each year increase, decrease, or stay the
same in…
a. a simple interest account? Explain your answer.
b. a compound interest account? Explain your answer.
2. Write the formula below
Simple Interest Compound Interest

Week 1 - Day 3-4

MOST ESSENTIAL LEARNING COMPETENCY
computes interest, maturity value, future value, and present value in
simple interest and compound interest environment -2)
OBJECTIVES
• Find simple interest
• Find for the unknown rate, time or principal
• Find maturity value
WHAT I KNOW
Directions: Read each item carefully. Write the letter of the correct answer on your notebook.
 1. Gabriel deposited Php ₱5,000 at a bank with an annual simple interest rate of 3%.
What is the interest she will earn in 3 years?
A. ₱450 B. ₱45,000 C. ₱4,500 D. ₱45
2. How much interest is earned on a principal of ₱1,800.62 invested at an interest rate of 8% for
four years?
A. ₱57, 619.84 B. ₱5,619.84 C. ₱576.20 D. ₱1,944.67
3. Dennis borrow 50,220 from his brother for two years at an interest rate of 6%, how much
interest will he pay?
A. ₱6,026,4 B. ₱60,264 C. ₱602, 640 D. ₱602.64
4. Interest that is credited daily, monthly, quarterly, semi-annually, or annually on both principal
and previously credited interest.
A. Simple B. Compound C. General D. Final Amount
5. This is a thing that is borrowed, especially money, that is expected to be paid back with
interest.
A. Debt B. Credit C. Debit D. Interest

WHAT’S IN
Choose the appropriate Interest rate I = Prt
word/ formula to fill-in the blank to make Principal Time 𝐀 = 𝐏(𝟏 + 𝐫)𝐭
the statement true.
1. ________It is the amount paid or earned for the use of money.
2. ________It is an annual rate, usually in percent and it is being charged by the lender.
3. ________This is an amount of money borrowed or invested
4. ________It is the amount of time in years the money is borrowed or invested
5. ________ It is the formula in finding the simple interest
WHAT’S NEW
How do we find the principal amount when the rate, time and simple interest is given ?
Example 1: What amount of principal
will earn an interest of 2,625 at 3% in 5 years?
𝟐,𝟔𝟐𝟓 𝟐𝟔𝟐𝟓
Using the formula we have
𝑷 = 𝟎.𝟎𝟑(𝟓) = 𝟎.𝟏𝟓 = ₱𝟏𝟕, 𝟓𝟎𝟎
17, 5OO is the initial investment you need to earn an interest of 2,625 at 3% in 5 years

Example 2: What annual interest rate is needed for your initial investment amounting
𝑰
𝒓= 𝑷𝒕
𝟑,𝟏𝟐𝟓 𝟑,𝟏𝟐𝟓 𝟑,𝟏𝟐𝟓
𝐫= 𝟏𝟓 = 𝟓𝟎,𝟎𝟎𝟎(𝟏.𝟐𝟓) = 𝟔𝟐,𝟓𝟗𝟗 = 𝟎. 𝟎𝟓 𝐨𝐫 𝟓%
𝟓𝟎,𝟎𝟎𝟎(𝟏𝟐)

Example 3: In what time will 15,000 amounts to 24,450 if the

simple interest is calculated at 7% per annum?
𝐼 9,450 9,450
Using the formula𝑡 = we have 𝑡= = 1,050 = 9 𝑦𝑒𝑎𝑟𝑠
𝑃𝑟 15,000(0.07)

to 50,000 to earn 3,125 in 15 months? Using the formula we have

Example 4: What is the simple interest if you invest an amount of 12,500 at an
interest rate of 7.5% for 3 years. Using the formula, I = Prt we have I =
12,500 (0.075) (3) =₱ 2,812.5
 WHAT’S IS IT

A. 2.5% C. principal E. 7 years G. ₱95,625

Do
B. what
initialisamount
asked. Choose
D.your
rate answer in the box F.
in 5each item.
years H. ₱10, 625

For items # 1 – 5
In how many years will 85,000 yield an interest of 10, 625 at 2.5% simple interest?
1. What is the interest rate identified in the problem?
2. What is 85,000?
3. What is the maturity value if you invest 85,000 and gain an interest of 10, 625?
4. In what year you will be able to get an interest of 10, 625?
5. What is the simple interest?
WHAT’S MORE

A. 9 years C. ₱238.12 E. 8% G. ₱75,000

B. 7 years D. ₱2,500 F. 5% H. ₱59,000

Do what is asked. Choose your answer in the box in each item.

1. In how many years will 15,000 yield an interest of 10,125 at 7.5% simple interest?
2. What is the simple interest if you borrowed 12,700 at 12.5% interest rate in 18
months?
3. What annual interest rate is needed for your investment amounting to 105,000 to
earn 25, 200 in 3
ars?
4. What amount of principal will earn an interest of 18,750 at 5% in 5 years?
WHAT I HAVE LEARNED
1. Given I = Prt, find the formula when P, t, or r is unknown.
WHAT I CAN DO
Solve the following problems. Show your solutions for each item.
1. Calculate the simple interest on 56,000 at 1.5% per annum for 9 months.
2. At what percent will 30,000 amounts to 72,000 in 20 years?
3. In how much time will a sum of money be triple itself at 25% per annum?
ASSESSMENT

Direction: Choose the letter of the correct answer. Write the chosen letter on a separate sheet of
paper.
For items 1 and 2
Mr. Sunday Seaman borrowed 40,000 for 10 years at 11.5 % simple interest rate.
1. How much interest will Mr. Sunday Seaman pay after 10 years?
2. What is the total amount he will pay after 10 years?
For items 3 – 5
Christian borrowed 58,000 at a simple interest rate of 5% per year. After a certain
number of years, he had paid 40,600 in interest altogether.
3. How many years was that?

4. What was the simple interest paid if he will wait for 10 years?
 5. What was the initial amount borrowed if Christian paid a simple interest of 19,500 for
5 years?

ADDITIONAL ACTIVITY

Set A - Determine the simple interest for these loans.

1. 17,200 at 1.35% for 7 months Answer: _____________________

2. 45,000 at 2.5% for 2 years Answer: _____________________
3. 36,950 at 6.5% for 36 months Answer: _____________________

Set B – Determine the simple interest and maturity value

Principal Int. Rate Time Interest Maturity Value

4. 15, 000 5% 3 months _________ ___________________

5. 12,500 11.6% 11 months _________ ___________________