For question 1-4 for the interest. All rates are annual interest rates.
1)
principal, $400
rate, 5%
time, 1 year.
a. $10
b. $20
c. $40
d. $200
2)
principal, $1,000
rate, 8.5%
time, 3 years
a. $255
b. $170
c. $22.5
d. $17
3)
principal, $200
rate, 9%
time, 1/2 year
a. $9
b. $18
c. $36
d. $45
4)
principal, $20,000
rate, 12%
time, 3 months
a. $240
b. $600
c. $800
d. $7,200
5) You borrow $1,200 at a rate of 4.5% for a period of 2 years. How much will you repay at the end of 2 years?
a. $108
b. $1,080
c. $1,308
d. $2,280
Please help me! I don't understand not one bit of this.
My answers
1) b
2) a
3) a
4) b
5) d
I just finished the test. the CORRECT answers are:
1. B
2. A
3. A
4. B
5. D
For anyone seeing this in 2018, they changed #5 from 2 years to 6 months and D is now the correct answer
1. $20
2. $225
3. $9
4. $600
5. $1,227
5/5 100%
1-4 are correct.
For #5,
interest = 1200*0.045*2=108
principal = 1200
Total to repay = 1200+108=1308.
5 is D not C
1- B
2- A
3- A
4- B
5-D
5. is d
#5 is D because how could the amount you pay back after the six months be less than your principal. Exactly it can't.
Answers are
1.b
2.a
3.a
4.b
5.d
B
A
A
B
D
I got 100% on my test