Compound Interest

In the compound interest formula B=P(1+r/n)^nt what does the B stand for?

• The amount of interest

• The ending balance

• The interest rate

• The time

Tags

CCSS.HSA.SSE.A.1

In the compound interest formula B=P(1+r/n)^nt what does the P stand for?

• The time

• The ending balance

• The principal amount (original amount)

• The interest rate

Tags

CCSS.HSA.SSE.A.1

Hei-Hei has $1500 in a retirement account earning 5% interest compounded annually. After 5 years how much does Hei-Hei have in the account?

• $1750

• $2010.14

• $2500

• $1914.42

Tags

CCSS.HSF-LE.A.1C

Henry deposits $750 into a college savings account that is compounded semiannually when his parents received as a stimulus package. If Henry lets the money sit in the account without adding or removing any and receives a 8.5% interest rate, how much money will he have total after 5 years?

• $1137.16

• $1535.24

• $2345.67

• $850.76

Tags

CCSS.HSA.CED.A.1

CCSS.HSA.SSE.A.1

CCSS.HSF.LE.A.1

CCSS.HSF.LE.A.2

If you wanted to amount of interest an account has earned after being compounded annually. What would you have to do after you found "B" using the formula =B(1+r/n)^nt ?

• Add B (total amount) plus P (original amount)

• Subtract B (total amount from P (original amount)

• Add P (original amount) plus B (total amount)

• Subtract P (original amount) from B (total amount)

Tags

CCSS.HSA.CED.A.1

CCSS.HSA.CED.A.4

CCSS.HSA.SSE.A.1

CCSS.HSA.SSE.B.3

CCSS.HSF.BF.A.1

CCSS.HSF.LE.A.1

CCSS.HSF.LE.A.2

Julia invested $1000 for college in an account earning 5% compounded monthly. When she checked the account after 4 years, how much money did she find in the account?

• $1220.90

• $563.24

• $1215.51

• $3200.12

Tags

CCSS.HSF-LE.A.1C

Daniel invests $360 in a bank account that is compounded annually for 8 years with an interest rate of 5.5%. How much does the account earn over the 8 year period?

• $625.88

• $192.49

• $315.45

• $552.49

Tags

CCSS.HSF-LE.A.1C

Emily’s parents put $1,500 in her bank account for college tuition. At an interest rate of 8.25% compounded semiannually,what will be the balance after 18 years?

• $6,273.50

• $6,314.08

• $6,385.72

• $6,427.94

Tags

CCSS.HSA.CED.A.1

CCSS.HSA.SSE.A.1

CCSS.HSF.BF.A.1

CCSS.HSF.LE.A.1

CCSS.HSF.LE.A.2

Kennedy 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 interest will she earn in 10 years?

• $915.59

• $933.28

• $979.81

• $1,005.09

Tags

CCSS.HSA.CED.A.1

CCSS.HSA.SSE.A.1

CCSS.HSF.BF.A.1

CCSS.HSF.LE.A.1

CCSS.HSF.LE.A.2

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

• $1,584.62

• $2,651.39

• $2,706.86

• $1,825.10

Tags

CCSS.HSA.CED.A.1

CCSS.HSA.SSE.A.1

CCSS.HSA.SSE.B.4

CCSS.HSF.BF.A.1

CCSS.HSF.LE.A.1

CCSS.HSF.LE.A.2