Principal =GH₵120,000.00 Time =5 months Rate =12 The simple interest is per annum (year), hence convert the months to years by dividing by 12 months 5 months =
5
12
annum Simple Interest =
120000×5×12
100×12
The denominator 12 in
5
12
moves download Cancel out 1. The zeros in 100 cancels out the zeros in 120000 2. 12 cancels each other out Simple Interest =1200×5= GH₵6000