Simple and Compound Interest STAAR Problems

Front

Mr. Jenkins deposited $1,250 into an account with 4.25% annual simple interest. What was the balance at the end of 4 years?

Back

$1,462.50

Front

Gabriel deposits $2,500 into each of two savings accounts. Account I earns 4% annual simple interest. Account II earns 4% interest compounded annually. What is the sum of the balances of Account I and Account II at the end of 3 years?

Back

$5,612.16

Front

An employee put $5,000.00 in a retirement account with 9% interest compounded annually for 5 years. What is the interest earned?

Back

$2,693.12

Front

An investor puts $2,500 into a life insurance policy that pays 8.25% simple annual interest. If no additional investment is made into the policy, how much accumulated interest should the investor expect at the end of 10 years?

Back

$2,125.00

Front

Mr. Wilkins deposited $2,500 in a new account at his bank with 6.5% interest compounded annually. What is the balance at the end of 2 years?

Back

$2,835.56

Front

Mr. Flores opened an account with a deposit of $5,000. The account earned annual simple interest. He did not make any additional deposits or withdrawals. At the end of 4 years, the balance of the account was $6,500. What is the annual interest rate on this account?

Back

7.5%

Front

Tamara invested $15,000 at 4% annual simple interest for 3 years. How much interest will she earn?

Back

$1,800

Front

Nicolas has $650 to deposit into two different savings accounts. He will deposit $400 into Account I, which earns 3.5% annual simple interest, and $250 into Account II, which earns 3 1/4% interest compounded annually. What is the total balance of these two accounts at the end of 2 years? Options: $672.13, $695.00, $694.25, $694.51

Back

$694.51

Front

Olivia will deposit $1,530 in an account with 6% simple interest annually. Melinda will deposit $1,500 in an account with 8% interest compounded annually. What is true about their account balances after 3 years?

Back

Melinda's account will have about $84.17 more than Olivia's account.