Financial Algebra Semester 1 Pre-Test

John has $1,800 in his checking account that charges a $23 per check overdraft fee. In the next 3 days, the following checks arrived from payment in the following order: check 128 for $1,620.00, check 126 for $450, and check 127 for $85.00. How much does John have in the bank?

• -401

• -378

• -293

• -270

Debbie receives a monthly checking statement from the bank showing a balance of $900 in her checking account. Debbie realizes that the statement does not include the checks she wrote for $120 and for $20. Her paycheck in the amount of $1,400 was deposited into her checking account one day after the statement ending date. What balance should Debbie show in her checkbook?

• 640

• 760

• 1400

• 2160

How much simple interest would Herald earn on his savings account with a starting balance of $800 over 3 years at 4.5%? Round to the nearest cent.

• 36

• 108

• 1080

• 10800

How many years does it take for $500 to double at simple interest of 16%? Round up to the next whole year.

• 3

• 7

• 90

• 900

Andy deposits $7,000 in a savings account that pays 8% interest, compounded quarterly. What is the balance of the account after two year? Round to the nearest cent.

• correct answer

• worng answer