Exploring the World of Percents

The video 'Math Bites' introduces the concept of percents, explaining their origin and practical applications, such as understanding sales discounts and credit card interest rates. It highlights the importance of knowing how percents work to avoid being misled by sales tactics and financial charges. The video also provides tips on interpreting percentages and understanding compound interest, aiming to make viewers more informed consumers.

What is the origin of the term 'percent'?

• It comes from the Latin 'per centum' meaning 'by the hundred'.

• It is a modern term created in the 20th century.

• It originates from the French term for 'division'.

• It is derived from the Greek word for 'fraction'.

If an item is on sale for 50% off and then an additional 10% off, what is the final discount?

• 55%

• 50%

• 60%

• 45%

What does a percent represent when applied to another value?

• A value relative to 1000.

• A fixed value.

• A value relative to 100.

• A value relative to 10.

How does compound interest affect the amount you owe on a credit card?

• It decreases the amount owed over time.

• It keeps the amount owed constant.

• It increases the amount owed exponentially over time.

• It has no effect on the amount owed.

What is the APR on a credit card?

• Annual Payment Rate

• Annual Percentage Rate

• Annual Principal Rate

• Annual Payment Ratio

What is the significance of the APR changing from month to month?

• It affects the interest you pay on your balance.

• It changes the minimum payment required.

• It alters the credit limit of your card.

• It has no impact on your credit card debt.

What does 'per 100' literally mean?

• Per annum

• Per decem

• Per mille

• Per centum

Why is compounding interest considered a 'drag'?

• It simplifies the calculation of interest.

• It has no effect on your finances.

• It increases the amount of interest you owe over time.

• It reduces the amount of interest you earn.

What should you be cautious of when seeing a '30% off' sale?

• The discount is applied to the original price.

• The discount is applied to the new price after previous discounts.

• The discount is applied to the total price including tax.

• The discount is not real.

What is the best way to avoid paying high interest on credit card debt?

• Pay off your balance in full each month.

• Only use your credit card for small purchases.

• Ignore the APR.

• Pay the minimum amount due each month.