Financial Algebra: Chapter 2 Review

Find the SIMPLE INTEREST on a $3,600.00 principal, deposited for 4 years at a rate of 2.39%. Round to the nearest cent

• $344.16

• $34,416

• $3686.81

• $3,800

Lloyd deposited $1050 in an account that pays 2.75% SIMPLE INTEREST for 2 years. What is the ENDING BALANCE?

• $5775

• $1,105.28

• $1,107.75

• $57.75

Dimitri deposits $4,000 into a savings account that pays 1.5% interest compounded semi-annually. Using SIMPLE INTEREST, how much interest does the account earn in the first 6 months?

• $30

• $4060.23

• $60.23

• Not possible

(USE THE ANSWER FROM THE PREVIOUS PROBLEM TO HELP) Dimitri deposits $4,000 into a savings account that pays 1.5% interest compounded semi-annually. Using SIMPLE INTEREST, what is the ending balance of the account after the first 6 months?

• $30

• $4,060.23

• $4,030

• Shut up silly head

(USE THE ANSWER FROM THE PREVIOUS PROBLEM TO HELP) Dimitri deposits $4,000 into a savings account that pays 1.5% interest compounded semi-annually. Using SIMPLE INTEREST, how much interest does the account earn in the SECOND 6 months?

• $30.23

• $60.23

• $30

• $120

(USE THE ANSWER FROM THE PREVIOUS PROBLEM TO HELP) Dimitri deposits $4,000 into a savings account that pays 1.5% interest compounded semi-annually. Using SIMPLE INTEREST, what is the balance after 1 year?

• $60.23

• $4,060.23

• Who cares?

• $4120

Scoot deposits $5,000 into an account for 8 years that pays 3.74% interest COMPOUNDED DAILY. What is the ending balance? Round to the nearest cent.

• $6,496

• $1,496

• $99,474.97

• $6,743.79

How much interest is earned on a $75,000 deposit for 3 years at 5.6% COMPOUNDED CONTINUOUSLY? Round to the nearest cent.

• $88,720.25

• $13,720.25

• $8,872.02

• $13,318.77

Tervis signed up for a direct deposit transfer into his savings account from his checking account. EVERY MONTH $150 is withdrawn from his checking account and placed in his savings account. The interest rate is 1.5%, COMPOUNDED MONTHLY. How much will be in the account at the end of 10 years? Round to the nearest cent.

• $18,000

• $19,407.05

• $1,407.05

• $174.26

Kiki (do you love me) bought a car for $40,000. She is wanting to pay off the loan at the end of 6 years. How much must she DEPOSIT (one time) into a savings account if the interest pays 2.15% interest COMPOUNDED MONTHLY?

• $5,502.35

• $45,502.35

• $35,163.02

• $5,160