angle simple interest test

The simple interest formula is I=Prt.  The P represents the principal.  The principal is ___________________.  

• the amount of money borrowed or deposited

• the percent interest for his year

• the amount taxed

• the amount the bank owes you for being a customer at their bank

The rate is given as a percent (%).  Before using it in the simple interest formula, you must first convert it to a______.

• fraction

• decimal

• ratio

• dollar amount

How do you convert % to decimal .

• Multiply by 10

• Multiply by 100

• Divide by 10

• Divide by 100

Principal = $500
Interest rate =5%
Time = 5 years
What is the interest earned?

• 95

• 105

• 125

• 135

You borrowed 43,800 at a SIMPLE interest rate of 4.8%. If you pay it back in 2 years, how much interest is paid pack?

• $464,280

• $85,848

• $4204.8

• $48,004.80

Javon has a credit card with a $1,583 balance. His simple interest rate is 8.8%. If he does not pay for 3 years, how much interest does he owe?

• $4,179

• $417.91

• $133,930

• $41,791

Danny earned $100 in interest on $800 that he deposited in the bank for 5 years. What was the interest rate?

• 0.025%

• 2.5%

• .25%

• 25%

Lisa earned $20 in interest after leaving her money in the bank for 1 year at a 5% interest rate. How much did Lisa deposit?

• $200

• $300

• $500

• $400

Jonah earned $150.36 in interest on an account that earns 1.4% simple interest. If Jonah opened the account 12 years ago, what was the principal amount?

• $850

• $868

• $880

• $895

• $902

Scott took out a 72 month loan for $35,000 to purchase a new boat. If Scott paid $8,925 in simple interest, what was the interest rate?

• 3.5%

• 4.25%

• 4.5%

• 4.75%

• 5.1%