Chapter 8 practice test

What is the maturity value of a single-

payment loan of $650 given for 80 days at

15% exact interest?

• $685.39

• $652.37

• $671.37

• $670.36

Answer explanation

650*.15*80/365=21.37

650+21.37=671.37

Tags

CCSS.7.RP.A.3

Marcus Gardner is buying a new computer

for $1,299.50. He made a 12% down pay-

ment. How much money did he put down?

• $155.94

• $212.84

• $120.00

• $420.50

Answer explanation

1299.50*.12=155.94

Tags

CCSS.6.RP.A.3C

Jenna Cox bought a home gym for

$1,299.50. If she made a 15% down pay-

ment, how much would she fi nance?

• $989.60

• $1,284.50

• $1,149.56

• $1,104.58

Answer explanation

1299.50*.15=194.92

1299.50-194.92=1104.58

Tags

CCSS.6.RP.A.3C

You take a $4,500 loan to pay for a trip

to the Amazon rainforest to photograph

wild animals. If the loan’s interest rate is

8% for 1 year, what is the interest for the

fi rst payment?

• $12.58

• $30.00

• $26.00

• $80.99

Answer explanation

4500*.08*1/12=30

Tags

CCSS.7.RP.A.3

Vincent Falcone has a 6-month loan of

$1,500.00 at 12% with a balance of $435.85

after the fourth payment. What is the fi nal

payment if the loan is paid off with the

fi fth payment?

• $438.20

• $440.21

• $440.29

• $441.28

Answer explanation

435.85*.12*1/12=4.36

435.85+4.36=440.21

Tags

CCSS.7.RP.A.3

Harold Stephens found a home theater

surround-sound system on sale for

$1,585.99 cash or $155.16 per month for

12 months. What is the fi nance charge if

he pays monthly?

• $122.83

• $275.93

• $22.00

• $1,310.06

Answer explanation

155.16*12=1861.92

1861.92-1585.99=275.96

Tags

CCSS.7.RP.A.3

Kim-Ly Vanh’s bank granted her a single-

payment loan of $2,580 for 90 days at 12%

ordinary interest. What is the amount of

interest?

• $127.44

• $87.54

• $77.40

• $98.12

Answer explanation

2580*.12*90/360=77.40

Tags

CCSS.7.RP.A.3

If you wanted to make an 8% down pay-

ment on a $3,585 loan to buy cashmere

sweaters for your boutique, how much

money would you need?

• $94.68

• $186.73

• $72.85

• $286.80

Answer explanation

3585*.08=286.80

Tags

CCSS.6.RP.A.3C

Dontice Thomas obtained a single-

payment loan of $21,400 to purchase a

diamond necklace and bracelet set. She

agreed to repay the loan in 120 days at

an ordinary interest rate of 8.5%. What

is the maturity value of her loan?

• $22,107.45

• $21,010.34

• $22,009.33

• $22,006.33

Answer explanation

21400*.085*120/360=606.33

21400+606.33=22,006.33

Tags

CCSS.7.RP.A.3

Madelyn Cramer purchased a desk for her home offi ce for $587.33. Using the store’s

installment plan, she made a $147.00 down payment. What amount did she fi nance?

• 440.33

• 587.33

• 147.00

• 442.33

Answer explanation

587.33-147=440.33

Tags

CCSS.7.EE.B.3