Financial Math Sem 2 Pretest

Jeremiah borrowed $1,500 from the bank to buy a home entertainment system. How much will he have to pay back in 6 months assuming the annual interest rate is 8% and he intends to pay the loan in full.

The information collected by credit bureaus such as Experian is accessible to ____________

Who makes possible most of the student loans in the United States?

A person learns that the interest rate on his $2,000, 1-year auto loan is 5%. He is about to apply for the loan when a friend says that he should first know the APR on the loan. He discovers that there is a $50 application fee, a $50 credit check fee, and a $100 charge related to other closing costs. What is the APR on this loan?

What is a grace period?

Assume you carry a $1,000 balance on your credit card that charges a 24% annual interest rate. How much interest will you pay for this account next month?

What is the maximum amount your total monthly bills should be if your gross monthly income is $5,500?

Subprime mortgages are ____________

Jerry has $321,000 in his bank account at his local bank. How much does he stand to lose if the bank goes out of business?

How might the economy suffer if there were no banks?