Mastering Personal Financial Literacy for 8th Grade Math

This video tutorial covers personal financial literacy, focusing on simple and compound interest. It explains how to calculate simple interest using the formula I = PRT and provides examples with real-life scenarios. The tutorial then introduces compound interest, using the formula A = P(1 + r)^T, and compares it with simple interest. It also discusses the cost of college and strategies for saving to cover expenses, emphasizing the importance of understanding interest in financial planning.

What is the formula for calculating simple interest?

• I = PTR

• I = PR/T

• I = P + RT

• I = PRT

How much total interest does Rachel earn after 7 years with a 2.1% interest rate?

• $1,400

• $1,470

• $1,200

• $1,500

How much total interest does Robert pay on his car loan after 6 years?

• $7,000.00

• $6,000.00

• $6,500.00

• $6,630.00

What is the formula for calculating compound interest?

• A = P(1 - r)^t

• A = P(1 + rt)

• A = P(1 + r)^t

• A = P + (1 + r)^t

After 5 years, how much interest has Larry earned with a 4.75% interest rate?

• $900.00

• $850.00

• $800.00

• $829.18

What is the total amount Lynnette will pay back for her kitchen remodel loan after 10 years?

• $35,000.00

• $39,974.51

• $32,000.00

• $42,000.00

Which account earns more interest after 10 years, account M with 4.1% simple interest or account N with 4.4% compound interest?

• Account M

• Account N

• Cannot be determined

• Both earn the same

How much more interest does account N earn compared to account M after 10 years?

• $500.00

• $600.00

• $640.86

• $750.00

What is the total cost covered by the student's aunt and a scholarship for the first year of college?

• $12,000

• $6,000

• $18,000

• $24,000

How much should the student save each month to cover the first year's remaining college cost?

• $500

• $450

• $600

• $550