Exam 6: Simple Interest

Calculate the simple interest rate at which one can earn $500 per day interest on an investment of $1,800,000.

Montel loaned $6800 to a friend for 13 months at an annual rate of 7.7% simple interest. How much interest did the borrower owe?

Calculate the combined equivalent value, six months from now, of $500 due today and $300 due in three months. Assume that money can earn 9½ %.

If $59,200 grows to $60,000 in 41 days what simple annual interest rate was earned?

Janesh has savings of $9625.63. If he can invest this amount to earn 7.8%, how many days will it take for the investment to grow to $10,000?

What amount invested at 4½ % on November 19, had a maturity value of $10,000 on March 3 of the following year?

Calculate the missing value:

What amount of money paid today is equivalent to $560 paid five months from now if money can earn 10¾ % per annum?

$1000 was invested on April 18, 2011 in a certificate of deposit earning 7.7% per annum. On its maturity date, the certificate paid $32.28 interest. On what date did it mature?

After 7 months at an interest rate of 13%, an investment matured today at a value of $80,000. How much of the $80,000 is interest?

Jacques received the proceeds from an inheritance on March 15. He wants to set aside, in a term deposit on March 16, an amount sufficient to provide a $45,000 down payment for the purchase of a home on November 1. If the current interest rate on 181-day to 270-day deposits is 5¾ %, what amount should he place in the term deposit?

Calculate the missing value:

Calculate the amount of money that would have to be invested at 8.5% to earn monthly interest of $3,000?

The total accrued interest owed as of August 31 on a loan advanced the preceding June 3 was $169.66. If the variable interest rate started at 8¾ %, rose to 9% effective July 1, and increased another ½ % effective July 31, what was the principal amount of the loan?

Two payments of $1300 and $1800 were scheduled to be paid five months ago and three months from now, respectively. The $1300 payment has not yet been made. What single payment at a focal date one month from now would be equivalent to the two scheduled payments if money can earn 4½ %?

How many months would it take for $3,500 to grow to $4,000 at 15%?

What was the simple interest rate if an investment of $35,000 earned interest of $250 between April 4 and May 23?

How many months would it take to earn $3,300 on a deposit of $84,000 at 9 ½ %?

Calculate the equivalent value of the scheduled payments if money can earn the rate of return specified in the last column. Assume that any payments due before today have been missed.

A $1000 loan at 9% was repaid by two equal payments made 30 days and 60 days after the date of the loan. Determine the amount of each payment.