Consumer Math B Semester Review

Dante Michaels’ charge account statement showed a previous balance of $277.45, a finance charge of $3.22, new purchases of $299.33, and a payment of $316.00. What is his new balance?

• $287

• $267

• $264

• $234

Barbara D’Angelo’s bank granted her a single-payment loan of $1,000 for 100 days at 12 percent ordinary interest. What is the amount of ordinary interest owed?

• $36.77

• $32.15

• $33.33

• $34.55

Tim Hanes’ bank granted him a single-payment loan of $1,000 for 100 days at 12 percent ordinary interest. What is the maturity value of the loan?

• $1,033.33

• $1,578.01

• $1,044.55

• $1,120.00

Spencer Ward purchased a new riding mower for $1,989. He made a 15 percent down payment and financed the remainder. What amount did he finance?

• $1,610.00

• $1,613.60

• $1,678.99

• $1,690.65

Use Figure 8.1. Henry Reed obtained an installment loan of $2,000. The annual percentage rate is 12 percent. He must repay the loan in 48 months. What is the finance charge?

• $524.80

• $525.00

• $500.25

• $495.10

Brad Clark took out a simple interest loan at 13 percent interest for 12 months. His previous balance is $619. What is the final payment if the loan is paid off with the next payment?

• $625.71

• $675.09

• $634.00

• $621.00

Christina Fox took out a simple interest loan at 5 percent for 12 months. Her previous balance is $200. What is the interest for the next payment?

• $0.59

• $0.83

• $1.37

• $0.99

Alana Garon obtained a personal loan of $2,200 at 12 percent for 12 months. The monthly payment is $194.00. The balance of the loan after 8 months is $830.78. What is the interest for the ninth payment?

• $8.31

• $12.00

• $172.00

• $185.69

Jovita Alvarez obtained a personal loan of $3,000 at 14 percent for 24 months. The monthly payment is $144.00. The balance of the loan after 18 months is $830.78. What is the new principal after the nineteenth payment?

• $556.07

• $678.11

• $567.99

• $696.47

Amos Howard obtained an installment loan for $800 to pay for a home repair. He agreed to repay the loan in six monthly payments. The finance charge is $24.64. What is the APR?

• 10.00%

• 10.25%

• 10.50%

• 11.00%