NAME:______
Module 16 TEST REVIEW
1. Mike deposited money into an account that earns simple annual interest. How much money, in dollars, is in his account after 10 years?
Principal, p / Interest Rate, r / Time, t$2,000 / 5% / 10 years
2. Aaliyah deposited money into an account that earns compound interest, compounded annually. How much money is in her account after 10 years?
Principal, p / Interest Rate, r / Time, t$2,000 / 5% / 10 years
3. Jose’s parents opened a savings account for him when he was born. The account earns compound interest, compounded annually. How much money will be in Jose’s account at age 18?
Principal, p / Interest Rate, r$5000 / 3.5%
4. Catie is considering two compound interest account options as shown below. Which option yields the most interest? How much more?
Option / Principal, p / Interest Rate, r / Time, tA / $450 / 7% / 4yr
B / $450 / 7.5% / 3yr
5. Logan has a simple annual interest savings account as shown below. How much interest has he earned at the end of 2 years?
Principal, p / Interest Rate, r$1500 / 4.25%
6. Caelan opened a simple annual interest savings account as shown below. How long will it take Emily to double the initial amount of money?
Principal, p / Interest Rate, r$4000 / 5%
7. Bryson deposited $6,500 into an account that pays 5% interest compounded annually. Write an expression that can be used to find the value of his investment after 6 years?______
8. Maddie deposited $3,500 into a savings account that pays 3.5% simple interest per year. How much interest does she earn per year on the investment?
9. Colton deposited $7,000 into certificate of deposit (CD) that earns 3.5% interest compounded annually. What will be the value of his CD after 3 years?
10. Kayla deposited $2,000 into a savings account that pays 4% simple interest per year. Write an expression to represent the value of her investment after 8 years?
______
11. James can attend either a community college or a university. The annual costs for each are shown in the table below.
Yearly College Costs
Community College / UniversityTuition / $1,985 / $19,555
Room & board / $4,567 / $6,189
Fee / $150 / $250
What is the total cost to attend the community college for two years?
12. Rogelio deposited $1,600 into an account that pays simple interest at an annual rate of 4.5%. What is the value of his initial deposit after 3 years?
13. Delaney is choosing between the two car loans shown in the table below. If the loans are the same amount, how do the loans compare?
Loan A / Loan BDuration / 48 months / 60 months
Interest Rate / 5% / 6%
Loan _ will have a_____ monthly payment but a_____ total cost.
14. Brisa deposited $4100 into a savings account that pays 3.5% simple interest per year. How much will her investment be worth after 5 years?
15. Renan deposited $5500 into a certificate of deposit (CD) that earns 2.5% interest compounded annually. How much interest will he earn after 5 years?
16. Kevin saves money by investing 6% of each of his paychecks in his company’s retirement plan. Which of the following describes how his investment will grow over 25 years of saving? Answer less, exactly, slightly more, or significantly more
His investment will most likely be worth ______than the total amount he deposits over the years.
17. Spencer deposited $1,750 into a savings account that pays 3.5% interest compounded annually. How much is his investment worth after 3 years?
18. Hannah can attend either a community college or a university. The annual costs for each are shown in the table below.
Yearly College Costs
Community College / UniversityTuition / $2,361 / $10,674
Room & board / $6,247 / $7,023
Fee / $140 / $225
What is total cost to attend the university for four years?
Community College / UniversityTuition / $2,361 / $10,674
Room & board / $6,247 / $7,023
Fee / $140 / $225
19. Isabella wants to attend the Community College for 2 years and then transfer to the University for 2 years. What will her total tuition be after 4 years?
Community College / UniversityTuition / $2,361 / $10,674
Room & board / $6,247 / $7,023
Fee / $140 / $225
20. Cayden decides to attend community college for one year. She can pay her cost for attending school in 12 equal monthly payments with no interest. What is the amount in dollars of each monthly payment?