Unit 1: Expenses

Which of the following is a discretionary expense?

• Groceries

• Rent

• Streaming Subscription

• Utilities

• $650

• $910

• $850

• $770

Tags

CCSS.7.EE.B.3

Alex spends 25% of his $1,600 monthly budget on personal expenses. How much does he spend?

• $400

• $320

• $250

• $500

Tags

CCSS.6.RP.A.3C

• $375

• $285

• $385

• $305

Tags

CCSS.7.NS.A.3

What does it mean to reconcile a bank statement?

• Adjust account balance for errors

• Open a new account

• Close an account

• Deposit funds

A savings account earns 2% annual interest. If you deposit $1,000, what is the interest earned after 1 year?

• $10

• $20

• $50

• $100

Tags

CCSS.7.RP.A.3

What makes compound interest different from simple interest?

• Compound interest is calculated on the initial principal only.

• Compound interest is calculated on the principal and the accumulated interest.

• Simple interest is calculated on the principal and the accumulated interest.

• Simple interest is calculated on the initial principal only.

Tags

CCSS.7.RP.A.3

Which statement is true about compound interest?

• Interest is only on principal

• Interest is earned on principal and prior interest

• Interest decreases over time

• It uses daily balances

Calculate the balance for a $1,000 investment at 5% annual interest compounded yearly for 2 years.

• $1,102.50

• $1,050

• $1,100

• $1,025

Continuous Compounding: Which formula represents continuous compounding?

• A = P(1 + rt)

• A = P(1 + r/n)^nt

• A = Pe^(rt)

• A = P + rt