wayground logo

Free Printable Worksheets

Font size

S
M
L
XL
Worksheets

Unit 6 Study Guide

Total questions: 60

Worksheet time: 2hrs 9mins

Name
Class
Date
1.

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

2.
The rate is given as a percent (%).  Before using it in the simple interest formula, you must first convert it to a______.
a)

fraction

b)

decimal

c)

ratio

d)

dollar amount

3.
What is 7.25% converted to a decimal?
a)

.725

b)

0.725

c)

0.0725

d)

7.25

4.
If you are calculating the simple interest and you are given the time in months, how can you find the time in years?
a)

Add 12 to the months

b)

divide the months by 12

c)

multiply 12 times the months

d)

You cannot change it to months.

5.
Convert 18 months to years. 
a)

18 Years

b)

1.5 Years

c)

.18 Years

d)

You cannot change it to years.

6.

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 percent interest for his year

c)

the amount taxed

d)

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

7.

Topic Question Pt. 1: What does "A" stand for in the compound interest formula?

4 lines
8.

Topic Question Pt. 3: What does "r" stand for in the compound interest formula?

4 lines
9.

Topic Question Pt. 4: What does "n" stand for in the compound interest formula?

4 lines
10.

Topic Question Pt. 5: What does "t" stand for in the compound interest formula?

4 lines
11.

Karla invested $1,000 in savings bonds. If the bonds earn 6.75% interest compounded semi-annually.


Which exponential equation can be used to find how much money Karla will earn in 15 years?

a)
b)
c)
d)
12.

Daniel invests $360 in a bank account that is compounded annually for 8 years with an interest rate of 5.5%. What will be the total amount in the account after the 8 years is over?

a)

$625.88

b)

$950.12

c)

$315.45

d)

$552.49

13.
Mark took a loan out for $25,690 to purchase a truck. At an interest rate of 5.2% compounded monthly, how much total will he have paid after 5 years?
a)

$33,299.42       playing dodgeball

b)

$33,672.68   climbing trees

c)

$34,157.04         riding unicycles

d)

$34,710.88      flipping pancakes

14.

If you baby sit for $20 per hour, how much money would you earn after working for 3.5 hours?

(a)  

15.

An auto mechanic earned $75 per hour, how much money would the mechanic earn after working 40 hours?

(a)  

16.

Which of the following is an example of a commission?

a)

Jose gets $21 dollars for every hour he works.

b)

A store manager gets a monthly pay of $1100

c)

A sales person recieved $45 for selling $500 worth of electronic

d)

Money paid for good service

17.

Sparky works a Electronic store where he get paid only on commission. If he receive 5% commission and sold $8200 of TV's, how much commission would he receive?

(a)  

18.

Which type of tax is paid when we purchase items at retail stores?

a)

income tax

b)

property tax

c)

sales tax

d)

payroll tax

19.

Gross income is:

a)

the total amount of money you earn

b)

the amount of money you receive after decuctions are subtracted

c)

the total amount of money you spend

d)

sales taxes on items you buy

20.

Net income is:

a)

the total amount of money you earn

b)

the amount of money you receive after deductions are subtracted from your gross income

c)

the amount of money that is taken away in the form of taxes

d)

the hourly rate of pay

21.

A deduction is

a)

gross income

b)

money added to your income

c)

net income

d)

money taken out of your income

22.

Gross income minus deductions equals your net income.

If Amorelle made $384 in gross income and her deductions are $122, what is her net income?

a)

$506

b)

$406

c)

$262

d)

$266

23.

John earns $250 per week at his job. His company withdraws 5% of his income for federal taxes. How much does John pay in taxes each week?

a)

$12.50

b)

$5

c)

$237.50

d)

$25

24.

Harry buys a new car that costs $25000 before taxes. If the sales tax rate in his state is 6%, how did he pay in TOTAL for the car?

a)

$26,500

b)

$1,500

c)

$25,000

d)

$3,000

25.
Which form tells an employer how much to deduct for taxes?
a)
W2
b)
W4
c)
1099
d)
1040
26.

6. What type of tax takes a percentage of the money you make on a job?

a)

a. Income tax

b)

b. Property tax

c)

c. Sales Tax

d)

d. Social Security tax

e)

e. Medicare tax

27.

A deduction is

a)

gross income

b)

money added to your income

c)

net income

d)

money taken out of your income

28.

Marco has the following deductions listed.

Federal Income tax: $44

Social Security tax: $23

Medicare tax: $5

Health Insurance: $24

What is the total amount of his deductions?

a)

$39

b)

$67

c)

$91

d)

$96

29.

Dayanara's gross income was $550. What was her net income if her deductions were $110 for payroll taxes and $22.50 for health insurance?

a)

$132.50

b)

$417.50

c)

$440.00

d)

$638.50

30.

1. If the income tax rate is 4%, determine the amount of income tax paid on an income of:

a. 40,000

a)

$160,000

b)

$1,600

c)

$16,000

d)

$160

31.

The Smyth Family went out to dinner on Saturday night. The total cost of the dinner was $50. They plan to leave a tip for $18%. How much money would the tip be?

a)

$9.00

b)

$90.00

c)

$10.00

d)

$12.00

32.

Sue wants to buy a pair of shoes originally priced at cost 40.00. She had a coupon for 35% off the original price. What is the discount?

a)

$12

b)

$14

c)

$1.40

d)

$20

33.
A pair of boots are $94.99.  They are 25% off. With this discount, what is the sale price? Round to nearest cent if necessary.
a)
$71.24
b)
$118.74
c)
23.7475
d)
$23.75
34.

Businessman and businesswoman are also known as _____________.

Choose the BEST response.

a)

Entrepreneurs

b)

Sharks

c)

Angel investors

d)

Venture capitalists

35.
An individual who undertakes the risk associated with creating, organizing, and owning a business.
a)
Entrepreneurship
b)
Entrepreneur
c)
Venture
36.
This is a type of business that is owned & operated by 1 person.
a)
corporation
b)
sole proprietorship
c)
franchise
d)
partnership
37.
A form of business ownership where 2 or more people share the assets, liabilities and profits.
a)
franchise
b)
partnership
c)
corporation
d)
sole proprietor
38.
This is a business that is chartered by the state; they are owned by stockholders but run by the CEO.
a)
sole proprietorship
b)
franchise
c)
partnership
d)
corporation
39.
In this type of business, you given the right to sell a company's goods/services in a particular geographic area.
a)
franchise
b)
corporation
c)
partnership
d)
sole proprietorship
40.

This is a written description of a new business venture that describes all aspects of the business.

a)

mission statement

b)

loan application

c)

vision statement

d)

business plan

41.

Which of the following are challenges of entrepreneurship?

a)

Getting start-up funds

b)

Insecure about making the right decisions

c)

Work long hours

d)

Face uncertain income levels

42.

Entrepreneurs might face which challenge when starting a business

a)

losing the business

b)

start-up funds

c)

being fully responsible

d)

all of the above

43.

The BIGGEST obstacle in starting a business is

a)

flexibility.

b)

obtaining financing.

c)

having a good idea.

d)

communication.

44.

Why is it important to establish positive credit history?

a)

Higher credit scores result in lower interest rates on loans

b)

You are more likely to be offered a loan by a bank

c)

Positive credit history results in higher credit scores

d)

All of the above

45.

What is important in establishing good credit?

a)

Making payments on time

b)

Being late on payments

c)

Spending 100% of your credit limit

d)

Missing a payment

46.

Which information would NOT appear on your credit report?

a)

Credit Card balance

b)

Car loan

c)

Mortgage

d)

Debit Card balance

47.
When I apply to borrow money for a car, the loan company will most likely look at my credit history.
a)
True
b)
False
48.

What is debt?

a)

Another word for death

b)

Something, typically money, that is owed or due

c)

A loan on which you do not have to pay interest

d)

That which is incurred during childhood and consummated in college

49.

Revolving credit is...

a)

a type of credit that can be used repeatedly up to a certain limit as long as the account is open and payments are made on time.

b)

a type of credit that can be used only once up to a certain limit and must be closed immediately after all payments are due

c)

a spinning door with money in it

d)

a round device that holds credit cards and spins, making it easy to shuffle through all your credit cards quickly

50.

What is a credit score?

a)

a number between 300 and 850 representing your creditworthiness

b)

a statistical number that evaluates a consumer's creditworthiness and is based on credit history.

c)

Often referred to as a FICO score

d)

All of the above

51.

"Do you have a good credit report?" Is what C of creditworthiness?

a)

Character

b)

Capital

c)

Capcity

d)

Credit

52.

" How long have you lived at your present address?" Is what C of creditworthiness?

a)

Character

b)

Capital

c)

Capacity

d)

Collateral

53.

"Having a savings account," is this C of creditworthiness.

a)

Character

b)

Capital

c)

Capacity

d)

Credit

54.

Property that can be taken away if payments are not made.

a)

Capacity

b)

Capital

c)

Collateral

d)

Character

55.

The higher your ________, the more likely you are to be approved for a loan.

a)

income

b)

annual donations

c)

debt threshold

d)

credit score

56.

When & how the loan will be repaid and interest rates is an example of

a)

capital

b)

character

c)

collateral

d)

conditions

57.

Pays bills on time

a)

Collateral

b)

Capital

c)

Character

d)

Capacity

e)

Credit History

58.

It is an indicator of how creditworthy a prospective borrower is likely to be as determined by the borrower's current financial assets and net worth.

a)

capacity

b)

collateral

c)

conditions

d)

capital

e)

character

59.

What does RISK, from the perspective of the lender, mean?

a)

how likely or unlikely the borrower is to repay the loan

b)

how new or old the borrower's assets are

c)

whether or not the lender has enough to lend to the borrower

60.

Describe what you've learned so far about winning and manging a jackpot for 1 Billion dollars. When completing parts 1 and 2 with your partner, what challenges did you encounter? What was easiest for you?

4 lines