Time Value of Money

The amount money a person expects to have in the future is called

• Principal
• Future Value
• Simple Interest
• Present Value

Tags

CCSS.8.EE.C.7B

Earning interest on interest is called

• Extra Interest
• Simple Interest
• Inflation Interest
• Compound Interest

The idea that money to be paid out or received in the future is not equivalent to money paid out or received today

• SMART Money
• Time Value of Money
• PV/FV Money
• Compound Money

Tags

CCSS.8.EE.C.7B

The A in SMART Goals stands for 

• Acceptable
• Additional
• Attainable
• Accurate

Tags

CCSS.6.EE.A.2C

A fast way to estimate how long it will take your savings to double with compound interest is known as

• 70-20-10 Rule
• Rule of 72

You invest $475 in an account that pays 3% simple interest annually.  How much money do you have after five years? 

• $546.24
• $544.46
• $543.25
• $546.25

You invest $800 in an account that pays 6% interest, compounded annually.  How much money do you have after five years?  Round your answers to the nearest cent. 

• $898.09
• $1070.58
• $1710.58
• $975.68

Steady rise in the general level of prices is known as

• Inflation
• Interest
• Time Value of Money
• Principal

Katie invested $6,500 in a savings account earning 12% interest compounded quarterly.  What is the future value of this investment after five years? Round your answers to the nearest cent. 

• $1,235,322.65
• $6,895.85
• $11,739.72
• $6,901.32

Yolanda invests $7,300 at 6% interest compounded annually for four years.  What is the future value of this investment?

• $9,216.08
• $6,236.83
• $9,246.57
• $6,240.07