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1324 Interest problems (First & Last Name for Credit)

Total questions: 15

Worksheet time: 30mins

Name
Class
Date
1.

Anne deposited $500 in an

account that earns 6% simple annual interest.

Shelly deposited $500 in an account that earns 6% annual interest

compounded annually. They leave the

money in the account for 4 years. Which

statement is true about the two investments after 4 years?

a)

Shelly will have $131.24 more in her account

than Anne has in her account.

b)

They will have the same

amount in their accounts.

c)

Shelly will have $11.24 more

in her account than Anne has in her account.

d)

Anne will have $11.24 more in

her account than Shelly has in her account.

2.

Avery deposits $8000 in a one year CD at 3.2% interest, compounded daily. What is Avery's ending balance? Round to the nearest cent and do not include the dollar sign.

(a)  

3.

Avery deposits $8000 in a one year CD at 3.2% interest, compounded daily. How much interest did Avery earn? Round to the nearest cent and do not include the dollar sign.

(a)  

4.

Emma deposits $1200 into an account that pays 3% interest, compounded monthly. What is her ending balance after two years? Round to the nearest cent and do not include the dollar sign.

(a)  

5.

Emma deposits $1200 into an account that pays 3% interest, compounded monthly. How much interest did she earn? Round to the nearest cent and do not include the dollar sign.

(a)  

6.

Jo’s computer loan statement said that they would pay $1,244.34 in simple interest for a 3-year loan at an interest rate of 12.4%. How much did Jo borrow to buy the computer?

Round to the nearest dollar and do not include dollar sign.

(a)  

7.

Carl placed $2,500 in a savings account that compounds interest annually at a rate of 1.0%. How much will he have in the account after 7 years? Round your answer to the nearest dollar.

Do NOT round until you have calculated the final answer.

Do not use dollar sign, $ in answer.



(a)  

8.

Kenneth loaned $1,200 to a friend to buy a computer. Two years later, they paid Kenneth back the $1,200 along with an interest of $96. If the interest that was collected was simple interest, what was the annual interest rate? Round your answer to the nearest whole number.

Do not use percent sign in answer, %.

(a)  

9.

Mika placed $4200 in a savings account which compounds interest continuously at a rate of 2.3%.

How much will she have in the account after 3 years? Round your answer to the nearest dollar.

Do NOT round until you have calculated the final answer.

Do not use dollar sign in answer, $.

(a)  

10.

Annie is opening a savings account that earns 5.2% interest, compounded continuously.

How much will she need to deposit in the account so that she has $2300 after 7 years? Round your answer to the nearest dollar.

Do NOT round until you have calculated the final answer.

Do not use dollar sign, $ in answer.

(a)  

11.

Jeremy invests $8,500 into an account with a 2.4% interest rate that is compounded quarterly. How much money will be in this account after 6 years? 

Round your answer to the nearest cent. 

Do NOT round until you have calculated the final answer.

Do not use dollar sign, $ in answer.

(a)  

12.

Ben makes a deposit of $1,200 into a savings account. The bank calculates simple interest at a rate of 6%. Interest is added every year on the anniversary of the initial deposit. How many full years must Ben wait before his investment is MORE than $1,500?

(a)  

13.

Jim takes his guitar to the pawn shop to get a simple interest loan and the pawn shop pays him $100. Two weeks later, Jim goes back to buy his guitar back and has to pay $200.

What simple interest rate did the pawn shop charge Jim to get his guitar back after the two weeks? Do not include the percent sign, % in your answer.

(a)  

14.

Leo buys a new car for $17,600. The simple interest rate is 8.4% and the amount of loan (plus simple interest) is repayable in 5 years. What is the total amount that must be repaid?

Round your answer to the nearest dollar and do not round until the final answer.

Do not include the dollar sign, $.

(a)  

15.

A friend asks to borrow $900 from you for three months and agrees to pay 5% simple interest. How much interest will you earn in total?Round your answer to the nearest cent.

Do not enter dollar sign, $.

(a)