Banking & Basic Budgeting Assessment

Calculate the simple interest earned on a principal of $2,000 at an annual interest rate of 5% over 3 years.

• $300

• $200

• $150

• $100

Tags

CCSS.HSN.Q.A.1

CCSS.HSA.CED.A.1

CCSS.HSA.REI.B.3

CCSS.HSA.SSE.A.1

CCSS.HSA.REI.A.1

If $5,000 is deposited into an account with an annual interest rate of 4% compounded annually, how much will be in the account after 5 years?

• $6,000

• $6,083.26

• $6,500

• $6,750

Tags

CCSS.HSA.CED.A.1

Lisa invested $3,500 in a savings account with an interest rate of 6% compounded semiannually. How much will she have in her account after 4 years?

• $4,420.00

• $4,433.70

• $4,500.00

• $4,600.00

Tags

CCSS.HSF.LE.A.1

CCSS.HSF.LE.A.2

A student took out a loan of $10,000 with an interest rate of 7% compounded monthly. What will be the total amount owed after 3 years?

• $12,250.00

• $12,500.00

• $12,329.24

• $13,000.00

Tags

CCSS.HSA.CED.A.1

Determine which of the following expenses are "Needs" and which are "Wants":

• Needs

• Groceries

• Needs

• Car insurance

• Needs

• Streaming service subscription

• Wants

• Rent

• Wants

• Gym membership

Sarah earns $3,000 per month. Following the 50-30-20 budgeting rule, how much should she allocate toward needs, wants, and savings?

• $1,500 for needs, $900 for wants, $600 for savings

• $1,200 for needs, $1,200 for wants, $600 for savings

• $1,000 for needs, $1,000 for wants, $1,000 for savings

• $1,800 for needs, $600 for wants, $600 for savings

Tags

CCSS.HSA.CED.A.3

CCSS.HSA.SSE.A.1

John needs to reduce his monthly expenses. Which of the following variable expenses could he adjust to lower his overall spending? They may be more than one. Select all that apply.

• Monthly rent

• Grocery bill

• Entertainment expenses

• Health insurance premium

Which of the following is considered a fixed expense that may be eliminated to save money?

• Gym membership

• Monthly car payment

• Rent

• Internet bill

Tags

CCSS.HSA.CED.A.3

Which of the following is an effective strategy for personal saving?

• Wait until the end of the month and save whatever is left in your checking account

• Set aside a fixed amount from each paycheck before spending on anything else

• Use credit cards for all purchases to earn rewards and pay off the balance monthly

• Spend first on wants and save whatever is left

Tags

CCSS.HSS.MD.B.5

CCSS.HSS.MD.A.2

All of the following statements about bank accounts are true, EXCEPT....

• If the bank is FDIC-insured, your money, up to the FDIC limit, is safe even if the bank fails

• Many banks pay interest on the money you deposit into your savings account

• Historically, savings accounts earn higher returns than investments in the stock market

• Money in a checking account is usually easy to access via ATM, debit card, or check