Week 3 Review Quiz

Choose the correct formula for the given problem: How much money must be deposited today in order to have $60,000 in 8 years if the savings account compounds annually at an APR of 5%?

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Calculate how much money must be deposited today in order to have $60,000 in 8 years if the savings account compounds annually at an APR of 5%?

• $44,752.32

• $60,000.05

• $40,610.36

• $47,011.57

Choose the correct formula: If Jose deposits $5000 in savings account compounding quarterly at 6.2 % interest, how much money will he have in 3 years?

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Choose the correct formula: You invest $1200 in an account that pays simple interest of 4% for 20 years. How much money will you have in the account at the end of 20 years?

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Choose the correct formula: You borrow $2500 to pay your tuition this semester. The terms of the loan are 8% interest compounded annually for 5 years. How much money will you have to pay back?

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