Percent and Interest Rate

Principal = $500
Interest earned in 4 years = $60.
Find the interest rate.

• 1%

• 2%

• 3%

• 4%

Jack deposited $1,400 in his bank account.  After 3 years, the account earned $294 in interest.  Find the simple interest rate.

• 5%

• 8%

• 7.25%

• 7%

Mr. Peterson paid $1,020 in interest for a loan, which was given to him at a rate of 5% for 3 years.  How much money did he borrow originally?

• $5,400

• $6,800

• $3,240

• $14,620

What does the "I" in the interest formula stand for?

• Principal

• Interest

• Rate

• Time

What is 7.25% converted to a decimal?

• .725

• 0.725

• 0.0725

• 7.25

What is the definition of percent increase?

• The percent change where something gains value or increases

• The percent change where something loses value or decreases

• It is a percent

• The subtraction of percents

The percent of change is the percent a quantity increases or __________ from its ________ value

• original, decreases

• multiplies, adds

• divides, subtracts

• decreases, original

What is a rate?

• The adding of interest charged or paid

• The percent of interest charged or paid

• The subtracting of interest charged or paid

Sales tax rate is the ________of an amount that is added to the cost of an item

• percent

• principal

• interest

What is interest (earned)?

• Money you earn/get when investing or saving money (the money increases by a percent each month)

• Money you spend/lose when investing or saving money (money you pay for having the account)

• Something you are interested in.

• Money.