DMS PFL Calculating and Comparing Interest

an account at a bank that a depositor can write checks out of

• checking account

• grant

• interest

• credit

a small plastic card issued by a bank, business, etc, allowing the holder to purchase goods or services on credit.

(this is BORROWED MONEY)

a card issued by a bank allowing the holder to transfer money electronically to another bank account when making a purchase

(pulls from YOUR MONEY)

• debit card

• compound interest

• simple interest

• principal card

Match the following

• Interest

• Interest + Principal=

• A=p(1+r)^t

• Compound Interest

• Account Balance

• Account Balance-Principal=

• I=prt

• Simple Interest

Tags

CCSS.7.RP.A.3

a sum of money given by an organization, especially a government, for a particular purpose

• grant

• checking account

• credit card

• simple interest

a sum of money lent or invested on which interest is paid

(the amount of money you START with; ORIGINAL amount invested or borrowed)

​ money paid regularly at a particular rate for the use of money lent, or for delaying the repayment of a debt

• interest

• principal

• withdraw

• grant

a quick and easy method of calculating the interest charge on a loan. It is determined by multiplying the daily interest rate by the principal by the number of days that elapse between payments.

(I=prt)

the addition of interest to the principal sum of a loan or deposit, or in other words, interest on interest. It is the result of reinvesting interest, rather than paying it out, so that interest in the next period is then earned on the principal sum plus previously accumulated interest.

A=p(1+r)^t

• compound interest

• simple interest

• bank balance

• deposit

the TOTAL amount of money in an account (interest plus principal)

• account balance

• checking account

• credit card

• principal