Percent Interest

John bought a new truck for $60,500. This loan has a simple interest rate of 9% per year. What is the amount of interest that John will be charged on this loan at the end of two years?

• $5,445

• $6722

• $108.90

• $10,890

Jayce opened a savings account with an initial deposit of $5000 and will not make any additional deposits or withdrawals. The account earns 6% simple interest. What is the total amount that Jayce will have in his account at the end of 3 years?

• $300

• $5300

• $900

• $5900

Ruby deposited $1,200 in an account that pays 5% in simple interest. How much will the account earn after 8 years.

• $4,800

• $480

• $5,200

• $520

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

• 95

• 105

• 125

• 135

Jane deposited $22,000 at a bank that pays 10% interest. Bill deposited $16,000 at a bank that pays 16% interest. Who will receive more interest in a year, and by how much more?

Ron is seeking a loan with a simple interest rate of 7% per year. He wants to borrow $4,500. How much will he be charged after 36 months?

(principal is the total amount borrowed) (time is in years, so convert 36 months to years)

• $5,445

• $9,450

• $11,340

• $945

You lend $240 to your friend.  He pays you back $270.  What interest rate did you charge your friend?

• 88%

• 20%

• 12.5%

• 10%

Principal = $500
Interest earned in 4 years = $60.
Find the interest rate.

• 1%

• 2%

• 3%

• 4%

You lend $240 to your friend. He pays you back $270 in one year . What interest rate did you charge your friend?

• 88%

• 20%

• 12.5%

• 10%

What does the "I" in the interest formula stand for?

• Principal

• Interest

• Rate

• Time