Simple Interest Quiz 23 (10 MCQs)

Quiz Instructions

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1. How much interest would you earn if you deposited $ 575 for 3 months at 2.88% simple interest?
2. An investor puts $ 2,500 into a life insurance policy that pays 8.5% simple annual interest. If no additional investment is made into the policy, how much accumulated interest should the investor expect at the end of 10 years?
3. Rachel invested $ 2,700 in a savings account earning 7% simple interest. If she invests for 2 years, how much money will she have in total?
4. You open a savings account that earns 0.85% annual simple interest. After 3 years, you earn $ 306 on your initial deposit. If you didn't make any additional deposits or withdrawals, what was your initial deposit?
5. This mysterious hand went to the mall and saw a massage chair that he would have to take a loan out to purchase. The total of the loan was $ 6600. The bank said that he could get a simple interest rate of 8% for 5 years. What is the total amount that the mysterious hand will pay for the chair?
6. (From the formula for Simple Interest) What does PNR stand for?
7. Simple interest at a rate of 5% per annum is paid on an investment of $ 2000. The term of the investment is chosen so that the total interest earned will be at least $ 375. The minimum term for this investment, to the nearest month, is:
8. Caden has $ 20 in a savings account. The simple interest rate is 10% per year. How much interest will he earn in 4 years? (I=Prt)
9. Mr. Peterson wrote a check for $ 7,820 to pay off the interest on a loan which was given to him at a rate of 5% simple interest for 4 years. How much money did he originally borrow?
10. Principal = $ 500 Interest rate =5% Time = 5 years Using the formula I=prt, what is the interest earned?