Interest Calculator

What would you put into the C/Y portion of a TVM calculator if you invest 500 dollars for 5 years at 10% interest rate compounded quarterly?

• 4

• 1

• 500

• 5

• 10

What would you put into the N portion of a TVM calculator if you invest 500 dollars for 5 years at 10% interest rate compounded quarterly?

• 4

• 1

• 500

• 5

• 10

10% simple interest is collected for 8 years on 500 dollars. What is your total amount by the end of the 8 years?

• 400

• 900

• 1071.80

• 571.8

10% compound interest (compounded annually) is collected for 8 years on 500 dollars. What is your total amount by the end of the 8 years?

• 400

• 900

• 1071.80

• 571.8

What does the "r" stand for in I=Prt?

• Interest rate as a percent value

• Interest rate as a decimal value

• Amount of interest

• Present value of investment

What does the "P" stand for in I=Prt?

• Interest rate as a percent value

• Interest rate as a decimal value

• Amount of interest

• Present value of investment

What does FV stand for in the compound interest formula?

• Present Value of investment

• Future Value of investment

• Interest rate per period

• Number of periods

Which formula will accumulate interest faster?

• Compound interest

• Simple interest

Which compounding period would give produce the most interest (considering all other factors stayed the same)?

• weekly

• monthly

• daily

• quarterly

What would you put into the PMT portion of a TVM calculator if you invest 500 dollars for 5 years at 10% interest rate compounded quarterly?

• 0

• 1

• 500

• 5

• 10