Financial Literacy Quiz

If you borrow $1,000 at an interest rate of 5%, how much interest will you pay in one year?

• $5

• $50

• $500

• $5,000

Answer explanation

To calculate the interest, use the formula: Interest = Principal x Rate. Here, Interest = $1,000 x 0.05 = $50. Therefore, the correct answer is $50.

Francine wants to invest $100 in a savings account. She finds an option with a 5.5% annual interest rate. How much money will Francine's account have in total after 3 years?

• $265

• $105.50

• $116.50

• $1750

Nick has 2 options to invest his $450 he got from his birthday presents. Option A is to invest it for 1 year at a 10% interest rate. Option B is to invest it for 3 years at a 4% interest rate. Which option is better and how much money would Nick make in interest if he picked it?

• Option A / $445

• Option A / $45

• Option B / $54

• Option B / $504

You have $1500 CAD (Canadian dollars), and you want to convert them to JPY (Japanese yen). The exchange rate is 1 CAD = 95 JPY. How many Japanese yen will you receive for your $1500 CAD?

• 14,250 JPY

• 142,500 JPY

• 15.79 JPY

• 15,790 JPY

Kayla is traveling for March Break. She is going to go to a resort in Mexico instead of staying at home in Ottawa. She needs to convert her Canadian Dollars into Mexican Pesos. Which currency is Kayla's domestic currency?

• Canadian Dollar

• Mexican Pesos

John wants to exchange $500 USD to Euros. If the exchange rate is 1 USD = 0.85 EUR, how many Euros will John receive?

• 850 EUR

• 425 EUR

• 500 EUR

• 585 EUR

Sara is considering two savings accounts. Account X offers a 6% annual interest rate, while Account Y offers a 4% annual interest rate. If Sara invests $1000 in Account X for 2 years, how much more interest will she earn compared to Account Y?

• $60

• $80

• $20

• $40

​ (a)   are things that help keep us alive and healthy.

​ (b)   are things that we desire but do not require.

• Needs
• Wants
• Hobbies
• Regrets
• Savings

After returning from Hong Kong for a business trip, Kate was able to turn her 10,855.18 HKD (Hong Kong Dollars) into $2000 Canadian Dollars. How much HKD is $1 Canadian Dollar worth?

• 10.86 HKD

• 20 HKD

• 1 HKD

• 5.43 HKD

What is a good strategy to to help us save money?

• Create a budget

• Prioritize needs over wants

• Deposit money in a savings account

• All of the above

• None of the above