Simple Interest / Compound Interest

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?

• $5375
• $375
• $37500
• $42500

You lend $240 to your friend. He pays you back $30 in interest in one year. What interest rate did you charge your friend?

• 88%

• 20%

• 12.5%

• 10%

Caiden earned $475 from mowing lawns last summer. He deposited this money in an account that pays an interest rate of 3.8% compounded annually. What will be his balance after 15 year?

• $827.52
• $831.10
• $839.45
• $846.80

Riley invested $1,000 in savings bonds. If the bonds earn 6.75% interest compounded semi-annually, how much total will Riley earn in 15 years?

• $1,584.62
• $2,651.39
• $2,706.86
• $1,825.10

Treasure won $3,000 from a radio contest. If she puts this money in a bank account that earns 2.9% interest compounded quarterly, how much total will she earn in 10 years?

• $4915.59

• $3933.28

• $2979.81

• $4005.09

Maggie would like to buy some new furniture for her home. She decides to buy the furniture on credit with 9.5% interest compounded quarterly. If she spent $7,400, how much total will she have paid after 8 years?

• $15,415.94

• $15,683.28

• $15,927.56

• $16,109.05

Principal: $5000

Interest Rate: 3.75%

Time: 25 years

Compounded Monthly

State the future account balance.

• $12712.31

• $12,749.30

• $12,657.59

• $12550.84

Holly is taking out a loan in the amount of $10,000.  Her choices for the loan are a 4-year loan at 4% simple interest and a 6-year loan at 5% simple interest.  What is the difference in the amount of interest Holly would have to pay for each of these two loans?

• $1,600
• $3,000
• $4600
• $1,400

The Arnold's took out a loan for $195,000 to purchase a home. At a 4.3% interest rate compounded monthly, how much total will they have paid after 30 years?

• $706,761.89

• $529.305.61
• $689,546.99
• $640,891.53

Tags

CCSS.HSF-LE.A.1C

Kevin took out a loan for $5,000 to buy a jet ski. He financed this loan with his bank. The loan has a simple interest rate of 4.35% and is for 6 years.

Move the correct answer to each box.

Kevin will pay a total amount of ​ (a)   on this loan. Of this, ​ (b)   will be in interest.

• $6,305.00
• $1,305.00
• $6,455.42
• $5,000.00
• $1,455.42

Tags

8.12D