Question 1

Determine the amount of money that would have to be invested at 5  % to accumulate to $10 000.00, 91 days after the investment date.

Accepted Answer

The answer of Determine the amount of money that would...

Question 2

Kennedy owed $925 to his friend a year ago and owed $600 to another friend 6 months ago. If he clears his debt today, what total payment is he expected to make, if the simple interest of 20% is applicable?

Accepted Answer

A)  $1770 
B)  $1110 
C)  $660 
D)  $1525 
E)  $1800

Question 3

Two obligations of $835 each, due 90 days ago and 35 days ago respectively, are to be settled by two equal payments to be made today and 65 days from now respectively. If interest allowed is 8.75% and the agreed focal date is today, what is the size of the equal payments?

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Question 4

A bank pays an interest of 4.5% for a three month term deposit. Calculate the amount that Stacy must invest to earn an interest of $100.00.

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Question 5

On New Years' Day in 2014, Legend's Hair Emporium borrowed a sum of money, and promised to pay $11 781 back on October 28, 2014. This loan included interest at 1.4%. How much money was initially borrowed on New Years' Day by Legends Hair Emporium?

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Question 6

On Christmas day, Sebastian deposited the $265 he got in a savings account that had a simple interest rate of 1.7% p.a. By next Christmas, how much interest was earned and paid into his account?

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Question 7

An appliance store advertises a stove for $747.50 with nothing down, no payments and no interest for six months. Determine the cash value the store would be willing to accept if on a six-month investment, it can earn an interest of 4%.

Accepted Answer

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Question 8

Determine the exact time between January 20, 2012 and May 10, 2012 by counting days.

Accepted Answer

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Question 9

A loan of $4100 is to be repaid in three equal installments due 110, 197, and 311 days respectively after the date of the loan. If the focal date is the date of the loan and interest is 6.89% p.a., find the size of the installments.

Accepted Answer

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Question 10

You have $5000 invested in a 30-day savings certificate at an interest rate of 1.00%. How much money will you have when the certificate matures?

Accepted Answer

A)  $5004.11 
B)  $5040.11 
C)  $5400.11 
D)  $4.11 
E)  $4500.11

Question 11

What principal will have a maturity value of $12 000.00 at 6.25% p.a. in 3 months?

Accepted Answer

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Question 12

A $10 000 loan advanced on February 15 at a 10% interest rate requires equal payments after 61 days, 122 days and 183 days from the day of the loan. What should be the value of the equal payments?

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Question 13

What principal will earn $67.52 at 6.75% in 158 days?

Accepted Answer

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Question 14

How much money do you have to invest in order to accumulate a total of $10 000 in 365 days if you are able to earn 5.00% on your money?

Accepted Answer

A)  $9533.81 
B)  $9523.81 
C)  $10000.81 
D)  $8523.81 
E)  $5923.81

Question 15

Compute the amount of interest for $679.43 at 6.25% from May 11 to January 20.

Accepted Answer

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Question 16

Bilal had got his first monthly paycheck of $5800 from his job and decided to deposit it into a new account with a 1.2% simple interest rate p.a. After half a year, how much interest had this initial deposit garnered?

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Question 17

Find the amount of interest on $635.00 at 6.5% p.a. from October 2, 2015 to August 4, 2016.

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Question 18

Compute the amount of interest on $875.00 at 11.5% p.a. from May 29, 2013 to August 13, 2013.

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Question 19

Determine the deposit that must be made to earn $85 in 7 months at 10.5%.

Accepted Answer

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Question 20

John buys a car for $20 000 on Kia finance with a simple interest of 5.99%. After one month he pays off the Kia finance using his secured line of credit which charges him 4% simple interest. He pays off the line of credit in 11 months. How much did he pay in total?

Accepted Answer

A)  $20 737 
B)  $20 837 
C)  $20 733 
D)  $20 800 
E)  $21 198

Exam 7: Simple Interest

Determine the amount of money that would have to be invested at 5 % to accumulate to $10 000.00, 91 days after the investment date.