Simple and Compound Interest Quiz

What is the formula for simple interest?

• A=P(1+r)^t

• I=Prt

• I=P(1+r)t

• 
  A=Prt

Tags

CCSS.7.RP.A.3

The simple interest formula is I=Prt.  The P represents the principle.  The principle is ___________________. 

• the amount of money borrowed or deposited

• the percent interest for this year

• 
  the amount taxed

• the amount the bank owes you for being a customer at their bank

Tags

CCSS.7.RP.A.3

If you are calculating the simple interest and you are given the time in months.  How can you find the time in years?

• divide 12 by the months

• divide the months by 12

• multiply 12 times the months

• change the months to a decimal

Tags

CCSS.7.RP.A.3

A bank is offering 2.5% simple interest on a savings account.  If you deposit $5,000, how much interest will you earn in three years?

• $5375

• $37500

• $375

• $42500

Tags

CCSS.7.RP.A.3

A bank is offering 2.5% simple interest on a savings account.  If you deposit $5,000, what will be the total amount of money in your savings account after three years?

• $375

• 
  $5375

• 
  $42500

• 
  $37500

Tags

CCSS.7.RP.A.3

Sarah borrowed $18,000 for 4 years at an annual simple interest rate of 7%.  How much interest will she pay at the end of the 4 years?

• 
  $5040

• 
  $23040

• 
  $504000

• $18000

Tags

CCSS.7.RP.A.3

Sarah borrowed $18,000 for 4 years at an annual simple interest rate of 7%.  What is the total amount she will repay for the car loan?

• $504000

• $23040

• $5040

• $18000

Tags

CCSS.7.RP.A.3

A bank is offering 7% annual compound interest on a savings account.  If you deposit $1,500, what will be the total amount of money in your savings account after three years?

• $337.56

• $1837.56

• 
  $31500

• 
  $30000

Tags

CCSS.7.RP.A.3

Riley invested $1,000 in savings bonds. If the bonds earn 6.75% interest compounded semi-annually, how much total will Riley earn in 15 years?

• $1,584.62

• 
  $2,706.86

• 
  $2,651.39

• $1,825.10

Tags

CCSS.7.RP.A.3

Olivia would like to buy some new furniture for her home. She decides to buy the furniture on credit with 9.5% interest compounded quarterly. If she spent $7,400, how much total will she have paid after 8 years.

• $15,415.94

• 
  $15,683.28

• $15,927.56

• $16,109.05

Tags

CCSS.7.RP.A.3