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S&C interest

Total questions: 10

Worksheet time: 3mins

Name
Class
Date
1.

It is the person who owes the money or avails of the funds from the lender.

a)

Lender

b)

Borrower

c)

Giver

d)

Cashier

2.

It is the percentage of the principal amount which represents the cost or fee for borrowing or lending money.

a)

Profit

b)

Gain

c)

Income

d)

Interest Rate

3.

It is the agreed date when the loan will be paid in full.

a)

Year

b)

Months

c)

Time

d)

Days

4.

It is the charged to a borrower or earned by a lender for the full term of the loan.

a)

Simple Interest

b)

Compound Interest

c)

Interest

d)

Interest Rate

5.

It is charged or earned is being rolled-over and reinvested with the principal amount.

a)

Simple Interest

b)

Compound Interest

c)

Interest

d)

Interest Rate

6.

The sum to which present investment will grow by a specific future date, when compounded at a given interest rate.

a)

Principal Amount

b)

Interest Rate

c)

Future Value

d)

Compound Interest

7.

Change 4.75% to a decimal.

a)

47.5

b)

.475

c)

475

d)

.0475

8.
Semi-Annually means how many times a year?
a)
b)
2
c)
1
d)
6
9.

Mika borrowed 4,000 for 5 years at 6% simple interest rate. How much will Mika pay in interest for his loan?

a)

800

b)

1,000

c)

1,200

d)

1,500

10.

The simple interest formula is I = Prt . The P represents the principal amount. The principal amount is ___________________. 

a)

the amount of money borrowed or deposited

b)

the percent interest for his year

c)

the amount taxed

d)

the amount the bank owes you for being a customer at their bank