Interest

The simple interest formula is Is = Prt. What does the t represent? 

• term

• time

• title

• text

It is the amount after t years that the lender will receive from the borrower.

• principal

• interest

• future value

• present value

Rate of interest must be converted into ________ before substituting to the formula of finding the interest.

• percentage

• mixed numbers

• fractions

• decimals

It refers to an interest that is computed based on the principal and interest accumulated every conversion period.

• simple annuity

• deferred annuity

• simple interest

• compound interest

Justin decided to borrow from a bank as the start-up capital of ₱50,000.00 at 7% simple interest rate payable within 5 years. Compute for the interest.

• P17,500.00

• P17,000.00

• P16,500.00

• P16,000.00

Mrs. Sanchez invested P200,000.00 at 5% compounded annually. She plans to get this amount after 10 years for her daughter's college plan. How much will she get?

• P325,776.93

• P325,777.93

• P325,778.93

• P325,779.93

Write the percent as a decimal.

4.3%

• 4.3

• 0.43

• 0.043

• 43.00

Starting money = P350.

Interest rate = 2.5%

TIme = 3 years.

How much interest?

• P7.50

• P26.25

• P87.5

• P262.50

You lend P240.00 to your friend. He pays you back P270.00. What interest rate did you charge your friend?

• 88%

• 20%

• 12.5%

• 10%

You borrowed P1,690.00 for 5 1/2 years at an interest of 5.7% compounded annually. How much extra did you pay by taking out the loan?

• P602.45

• P2,292.45

• P1,87.55

• P3,982.45