8.12D Simple and Compound Interest

What is the interest rate if the principal amount borrowed is $32,000 and $9600 is the interest over six years.

• 50%

• 0.5%

• 5%

• 0.05%

Tags

CCSS.7.RP.A.3

Victoria borrowed $4500 at a simple interest rate of 6% per year. What will be the total amount will she pay after 5 years for this loan?

(a)  

Tags

CCSS.7.RP.A.3

Caiden earned $475 from mowing lawns last summer. He deposited this money in an account that pays an interest rate of 3.8% compounded annually. What will be his balance after 15 year?

• $827.52
• $831.10
• $839.45
• $846.80

Determine what the variables mean in the simple and compound interest formulas.

• interest rate as decimal

• P

• total amount accrued with interest

• r

• Principal or original amount

• A

• interest

• I

• time, in years

• t

Tags

CCSS.8.EE.C.7B

Label each part of the formula

b

a

c

d

e

Time

Rate

Compound Period

Principle

End Amount

Tags

CCSS.HSF-IF.C.8B

Jamar deposited $200 into a savings account. The account earns 2.5% annual compound interest. If Jamar makes no additional deposits or withdrawals, how much interest will he have earned at the end of 20 years?

• $300

• $100

• $127.72

• $327.72

John deposits $5,000 into each savings account.

- Savings Account 1 earns 3.5% simple interest

-Savings account 2 earns 3.5% compound interest

John does not make any additional deposits or withdrawals. What is the sum of the balances of both savings accounts at the end of 5 years?

• $11,813.40

• $5,938.43

• $5,875.00

• $11,750.00

Tags

CCSS.HSF.BF.A.2