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?

Fill in the Blanks

Find the simple interest earned to the nearest cent.

$640, 3%, 2 years

Write as money

Fill in the Blanks

Find the simple interest earned to the nearest cent.

$1200, 3.9%, 8 months

Fill in the Blanks

Leon charged $75 at an interest rate of 12.5% on his credit card. What will be the total amount that Leon will owe the credit card company if not payment is made this 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