Calculating Interest

Overview

Two teenagers who have saved their summer earnings explore ways of making their money grow. With the help of the presenters, Katie and Jamie, we see how percentages are the key to understanding investments. They look in detail at the world of finance, explain the two types of interest and show their calculation. We see a visual demonstration of the difference between simple and compound calculations and Richard Whiteley, of ‘Countdown’ fame, offers a tip on calculation techniques. The problems of poor countries accumulating debt through interest charges are examined on a visit to the Jubilee Debt Campaign.

The programme aims to present the topic of calculating interest in a lively, interesting and entertaining style. The content is linked throughout to the requirements of GCSE Intermediate Mathematics. It includes tips for answering examination questions and a discussion of a typical exam error in the ‘Tick or Trash’ section. Calculations and methods are demonstrated in detail. Appropriate mental arithmetic strategies and efficient use of a calculator are both specifically addressed. Clear graphic and visual explanations are used to reinforce understanding of the mathematics covered. The programme draws on real-life examples and settings. These are chosen to engage the student audience, as well as to support teachers by bringing the outside world into the classroom.