Simple Interest

Simple Interest

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Multiple Choice

A TV that normally cost $800 is on sale for 33% off.  There is a 6% sales tax on the purchase.  What is the final cost of the TV?

• $536.00
• $568.16
• $279.84
• $321.60

Multiple Choice

You plan to purchase a plane ticket for $299.00 and you are going to use a discount code to receive 15% off.  How much will the ticket cost?

• $149.50
• $254.15
• $343.85
• $44.85

Multiple Choice

Mrs. Frost is a real estate agent.  She earns 6% commission on her sales plus $2,000 each month.  Last month her sales totaled $523,250.00.  How much did she earn last month?

• $31,395.00
• $33,395.00
• $313,950.00
• $333,950.00

Section 1

1) Pam invests $5,000 at 3% interest. How much interest will she earn in 4 years?

I = PRT

I = $5,000 • .03 • 4

I = $600 So, Pam will earn $600 in 4 years.

Subject | Subject

Some text here about the topic of discussion

Section 1

Matthew invest $5000 at 3% simple interest. How much interest will he earn

in 8 months?

Interest = Principal • Rate •Time (in years)

Interest = $5,000 • .03 • 𝟖/𝟏𝟐

Interest = $100 So, Matthew will earn $600 in 4 years.

Section 2

3) Rondell’s parents borrow $6,300 from the bank for a new car. The interest rate is 6% per year. How much simple interest will they pay if they take 2 years to repay the loan?

I = PRT

I = $6,300 • .06 • 2

I = $756 Rondell’s parents will pay$756 in 2 years

Open Ended

Turn and Talk: Guided Practice #1

Kelly deposited $50 into a bank account that pays 8% simple interest. What will be the balance of Kelly’s account after 10 years?

Open Ended

Turn and Talk: Guide Practice #2

Derrick’s dad bought new tires for $900 using a credit card. His card has an interest rate of 19%. If he has no other charges on his card and does not make a payment, how much money will he owe the credit card company after one month?

Multiple Choice

The rate is given as a percent (%). Before using it in the simple interest formula, you must first convert it to a______.

• fraction

• decimal

• ratio

• dollar amount

Multiple Choice

This mysterious hand went to the mall and saw a massage chair that he would have to take a loan out to purchase. The total of the loan was $6600. The bank said that he could get a simple interest rate of 8% for 5 years. What is the total amount that the mysterious hand will pay for the chair?

• $2600

• $924

• $9240

• $260

Multiple Choice

Pennywise puts $300 in a bank account earning 4% interest. How much will he earn in interest in 1 year?

• 4

• 8

• 12

• 16

Multiple Choice

Find the ending balance:
$1,400 at 4% for 60 months

• $1,456

• $1,680

• $280

• $1,703.31

Multiple Choice

Find the simple interest earned for principal of $2,000 at and 8% rate for 5 years.

• $160

• $800

• $80,000

• $16

Multiple Choice

Find the simple interest earned when the principal is $500 at a rate of 10% held in the bank for 8 months.

• $33.50

• $40,000

• $50

• $400