Year 12 Financial Maths Review

What is the simple interest earned on a deposit of $500 for 6 years at 4.5% p.a.?

• I = 500 x 4.5 x 6

• I = 500 x 6 x 4.5

• I = 500 x 0.45 x 6

• I = 500 x 0.045 x 6

Daniel invested $5000. Interest is compounded annually at 4% p.a. Calculate the value of the investment after 3 years.

Daniel invested $5000. Interest is compounded semi-annually at 4% p.a. Calculate the value of the investment after 3 years.

Daniel invested $5000. Interest is compounded quarterly at 4% p.a. Calculate the value of the investment after 3 years.

1000 shares cost $5000. How much does one share cost?

• $0.50

• $5.00

• $50.00

• $5 000 000

1000 shares cost $5000. The brokerage fee is 5%. Calculate the brokerage fee.

• $0.25

• $2.50

• $25.00

• $250

1 share costs $5.00. The dividend per share is $0.50. Calculate the dividend yield.

• 1%

• 5%

• 10%

• 50%

The dividend per share is $0.50. Issy owns $2000 shares. What is the total dividend that will be paid to Issy?

• $50

• $500

• $1 000

• $10 000

A Smart TV was purchased for $2 500. The TV depreciates at a rate of 10% per annum. What is the salvage value of the TV after 4 years.

A used laptop was bought and depreciated using the straight-line method of depreciation as shown in the graph.

What is the purchase price of the laptop?

• $550

• $600

• $900

• $1000