2.5 Checking & Savings REVIEW

What is the simple interest formula?

Tags

CCSS.7.RP.A.3

Peter invested $7,500 in a savings account with a yearly interest rate of 3% for 14 years. How much simple interest did he earn?

• $315

• $3,150

• $2,250

• $225

Tags

CCSS.7.RP.A.3

After 8 years, Jordyn earned $980 in simple interest from a CD into which she initially deposited $7,000. What was the annual interest rate of the CD?

• 7%

• 5.25%

• 3.5%

• 1.75%

Tags

CCSS.6.EE.B.7

The periodic interest rate is found by dividing the annual interest rate by the number of periods.

• True

• False

Tags

CCSS.7.RP.A.3

The annual interest rate of Marta's savings account is 7.2%, and simple interest is calculated quarterly. What is the periodic interest rate of Marta's account?

• 0.6%

• 1.2%

• 1.8%

• 3.6%

Tags

CCSS.7.RP.A.3

Which endorsement has a signature on the back of the check with no specific instructions?

• Blank

• Full

• Restrictive

Which endorsement of a check can be used for depositing the money, but cannot be exchanged for cash?

• Blank

• Full

• Restrictive

Which endorsement of a check is signed by the person it is made out to but has instructions to pay the check to someone else?

• Blank

• Full

• Restrictive

Which account is not FDIC insured?

• Basic Savings Account

• Money Market Savings

• Certificate of Deposit (CD)

• Savings Bond

Steve has $700,000 he wants to save. If the FDIC insurance limit per depositor, per bank, is $250,000, which of these ways of distributing his money between three banks will guarantee that all of his money is insured?

• $225,000 in bank A, $240,000 in bank B, $235,000 in bank C

• $205,000 in bank A, $240,000 in bank B, $255,000 in bank C

• $225,000 in bank A, $260,000 in bank B, $215,000 in bank C

Tags

CCSS.6.RP.A.3B