Simple and Compound Interest Practice

Front

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?

Back

$375

Front

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?

Back

$5040

Front

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?

Back

$23040

Front

John deposited $2,000 into a savings account. How much will John have in his account after 7 months at a yearly simple interest rate of 3¼%?

Back

$2037.92

Front

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?

Back

$1837.56

Front

A bank is offering 7% annual compound interest on a savings account. If you deposit $1,500, how much interest will you earn in three years?

Back

$337.56

Front

Kara borrowed $21,000 for 5½ years at an annual compound interest rate of 7.5% to buy a car. What is the total amount she will repay the bank for the auto loan?

Back

$31258.30

Front

Kara borrowed $21,000 for 5½ years at an annual compound interest rate of 7.5%. How much interest will she pay on top of the principal at the end of the 5½ years?

Back

$10258.30

Front

Ricco deposits $500 at 2.5% interest compounded annually for 3 years. Wally deposits $500 at 5.1% interest compounded annually for 2 years. Who earns more interest?

Back

Wally will earn $13.85 more than Ricco

Front

Harley wants to buy a car that costs $15,000. Bank One offers her a 3-year loan at a simple interest rate of 9%. Bank Two offers her a 5-year loan at an annual compound interest rate of 3.5%. Which bank offer should she choose?

Back

She will pay $1,234.70 less if she chooses Bank Two.