new 2023 TEST REVIEW simple and compound interest

An investor puts $4,000 into a life-insurance policy that pays 6.5% compound annual interest. If no additional investments is made into the policy, how much money can the investor expect the policy to be worth after 20 years?​ (a)  

• 14,094.58
• 10,094.58
• 5,200
• 9,200

Tags

CCSS.HSF-LE.A.1C

An investor puts $15,000 into a life-insurance policy that pays 9% compound annual interest. If no additional investments is made into the policy, how much money can the investor expect the policy to be worth after 25 years?​ (a)  

• 129,346.21
• 114,326.21
• 33,750.00
• 48,750.00

Tags

CCSS.HSF-LE.A.1C

The Donald deposited $8,500 in a new account at his bank.

• The bank pays 3.5% interest compounded annually on this account.

• No additional deposits or withdrawals were made.

Which amount is closest to the balance of the account at the end of 9 years?​ (a)  

• 3,084.63
• 2,677.50
• 11,177.50
• 11,584.63

Your mom deposited $3,200 in a new account at her bank.

• The bank pays 2.5% interest compounded annually on this account.

• No additional deposits or withdrawals were made.

Which amount is closest to the balance of the account at the end of 5 years?​ (a)  

• 420.51
• 400.00
• 3600.00
• 3,620.51

Tags

CCSS.HSF.BF.A.2

Jimmy John wants to take out a loan of $11,750. The loan is a compound interest loan that will be paid back over a period of 5 years. The interest rate on his loan is 2.5%.

 

Which of the following formulas could be used to find the total amount he would have to pay back on his loan?​ ​ (a)  

• A=11,750(1+.025)^5
• A=11,750(1+2.5)^5
• I=(11,750)(2.5)(5)
• I=(11,750)(.025)(5)

Betty Crocker wants to take out a loan of $1,250. The loan is a simple interest loan that will be paid back over a period of 3 years. The interest rate on his loan is 7.5%.

 

Which of the following formulas could be used to find the total amount he would have to pay back on his loan?​ ​ (a)  

• I=(1250)(.075)(3)
• A=1250(1+7.5)^3
• I=(1250)(7.5)(3)
• A=1250(1+.075)^3

Tags

CCSS.7.RP.A.3

Jenny Craig will borrow $53,4​ 00 to buy a car. Which loan option would allow her to pay the least amount of interest?​ (a)  

• a 2 year loan with an 18% interest rate
• a 6 year loan with a 3% interest rate
• a 5 year loan with a 7% interest rate
• a 3 year laon with a 12 % interest rate

Tags

CCSS.7.RP.A.3

Homie and Big Papa invested $7,600 into an account that earns 6% simple interest.

 

How much money will be in the account at the end of 4 years?​ ​ (a)  

• 9594.82
• 1994.82
• 1824.00
• 9424.00

Tags

CCSS.HSF.BF.A.2

Sissy and Tio invested $2,300 into an account that earns 4% simple interest.

 

How much money will be in the account at the end of 4 years?​ ​ (a)  

• 368.00
• 390.67
• 2690.67
• 2668.00

Tags

CCSS.HSF.BF.A.2

Edward Sharpe invested $8,750 into a savings account that earns simple interest at a rate of 5.5%. If he leaves the money in the account for 18 years, how much interest will he have earned at the end of 18 years?​ (a)  

• 16359.50
• 8443.50
• 17412.50
• 8662.50

Tags

CCSS.7.RP.A.3