Applying proportional relationships to solve multi-step problems

Label each part of the formula

b

a

c

d

e

Time

Compound Period

End Amount

Principle

Rate

Find the interest rate:
Principal: $4,900
Interest:$191.10
Time: 1.5 years

• 171%
• 17.1%
• 0.026%
• 2.6%

You are purchasing a scarf for $28.59. The sales tax rate is 4.75%. How much will the sales tax be for the scarf?

• $1.36

• $29.95

• $6.02

• $13.58

• None of these

Your family plans to start a small business in your neighborhood.  Your father borrows $10,000 from the bank at an annual interest rate of 8% rate for 36 months.  What is the amount of interest he will pay on this loan?

• 800
• 2,400
• 28,800
• 576,000

Alec receives $450 from his grandpa to put in a savings account for his 8^th grade trip. If the account Alec’s parents set up for him pays 2.7% simple interest on an annual basis, what is his total balance after 2 years if he doesn’t add or take money from the account?

What is the Principal in this example?

• 2.7%

• 450

• 500

• 2

Juan bought a video game for $59.99 and the sales tax rate was 8.3%. What is the total price of the video game? 

• $62.87
• $64.97
• $55.01
• $64.66

A real estate agent will earn a 3% commission on the sale of a home. If they find their client a home that costs $250,000, how much commission will the real estate agent earn?

Mathematical Equivalence

ON

Cole needs to buy a new pair of sneakers for $49.56. If the sales tax is 6.5%, how much sales tax will Cole pay on his new sneakers?

• $3.22

• $32.21

• $52.78

• $322.14

If the decay rate is 20%, which of the following represent the decay factor?

• 0.2

• 0.8

• 1.2

• 1.8

A $500 certificate of deposit has a simple interest rate of 7.25%. What is the total value of the certificate after 8 years?

• $290

• $550

• $790

• $2,900