BECE Mathematics 2016 Paper

Concept:Simple interest is calculated using the formula $SI = \frac{P \times R \times T}{100}$, where time must be in years.Explanation:Given: Principal $P = \text{GH₵}120,000.00$, Rate $R = 12\%$ per annum, Time $T = 5$ months.Since the rate is per annum, convert 5 months into years.$T = 5$ months $= \frac{5}{12}$ year.Substitute the values into the formula:$SI = \frac{120000 \times 12 \times \frac{5}{12}}{100}$Simplify the numerator: $12 \times \frac{5}{12} = 5$.So $SI = \frac{120000 \times 5}{100}$.Cancel the zeros: $\frac{120000}{100} = 1200$.Thus, $SI = 1200 \times 5 = 6000$.The simple interest is GH₵6,000.00.Answer:A. GH₵6,000.00