WorksheetsSimple & Compound Interest Quick Check
Total questions: 10
Worksheet time: 52mins
Name
Class
Date
1.
The simple interest formula is I=Prt. The P represents the principle. The principle is ___________________.
a)
the amount of money borrowed or deposited
b)
the amount taxed
c)
the percent interest for this year
d)
the amount the bank owes you for being a customer at their bank
2.
What is the formula for simple interest?
a)
A=P(1+r)t
b)
I=Prt
c)
I=P(1+r)t
d)
A=Prt
3.
Ann puts $300 in a bank account earning 4% interest. How much will she earn in interest in 1 year?
a)
4
b)
8
c)
12
d)
16
4.
Smithville Bank is offering each of it's customers a record 3.4% interest on new savings account. If Mr. Thomas opens an account with $1,500, how much interest will he earn in 3 years?
a)
$15,300
b)
$1,530
c)
$153
d)
The answer is not shown
5.
5) Megan is currently in 8th grade and wants to begin saving money for college. She wants to invest $2000 in a simple interest account that pays at a rate of 3.5%. How many years will she have to save for the account to gain $490 in simple interest?
a)
5 years
b)
6 years
c)
7 years
d)
8 years
6.
Your 3 year investment of $20,000 received 5.2% interest compounded annually. What is your total return?
a)
$23,285.05
b)
$3,285.05
c)
$2,385
d)
$32,285
7.
You deposit $2,500 in a savings account.
What is the difference in the amount of interest that will be paid in each situation?
Option A) Interest rate of 8.25% simple interest for 2 years
Option B) Interest rate of 6.5% compounded annually for 2 years
a)
$769.40
b)
$335.56
c)
$76.94
d)
$68.52
8.
Karla invested $1,000 in savings bonds. If the bonds earn 6.75% interest compounded semi-annually, how much total will Karla earn in 15 years?
a)
$1,584.62
b)
$2,651.39
c)
$2,706.86
d)
$1,825.10
9.
Emily would like to buy some new furniture for her home. She decides to buy the furniture on credit with 9.5% interest compounded quarterly. If she spent $7,400, how much total will she have paid after 8 years.
a)
$15,415.94
b)
$15,683.28
c)
$15,927.56
d)
$16,109.05
10.
Courtney saved up $2,200 working as a waitress over the summer. She put this money into a bank account that earned 5.2% interest and is compounded daily. How much will she have in her account at the end of 4 years?
a)
$2201.25
b)
$2694.55
c)
$2707.45
d)
$2708.63
100 %
