1.

A 9% discounted loan is to be repaid in monthly installments over two years. The total amount borrowed was $500. How much is the monthly payment?


A) $12.51 B) $20.83 C) $24.58 D) $25.60

2.

A 9% addon loan is to be repaid in monthly installments over two years. The amount borrowed was $500. How much is the monthly payment?


A) $12.51 B) $20.83 C) $24.58 D) $25.60

3.

A 7% discounted loan is to be repaid in monthly installments over six years. The total amount borrowed was $6000. How much is the monthly payment?


A) $68.33 B) $72.33 C) $83.33 D) $118.33

4.

A 7% addon loan is to be repaid in monthly installments over six years. The amount borrowed was $6000. How much is the monthly payment?


A) $68.33 B) $72.33 C) $83.33 D) $118.33

5.

An 8% discounted loan is to be repaid in monthly installments over five years. The total amount borrowed was $12,000. How much is the monthly payment?


A) $54 B) $185 C) $200 D) $205

6.

An 8% addon loan is to be repaid in monthly installments over five years. The amount borrowed was $12,000. How much is the monthly payment?


A) $54 B) $185 C) $200 D) $205

7.

A 12% discounted loan is to be repaid in monthly installments over four years. The total amount borrowed was $5400. How much is the monthly payment?


A) $112.50 B) $162.50 C) $166.50 D) $282.75

8.

A 12% addon loan is to be repaid in monthly installments over two years. The amount borrowed was $5400. How much is the monthly payment?


A) $112.50 B) $162.50 C) $166.50 D) $282.75

9.

An 11.9% discounted loan is to be repaid in monthly installments over three years. The total amount borrowed was $29,000. How much is the monthly payment?


A) $241.67 B) $493.00 C) $805.56 D) $1093.14

10.

An 11.9% addon loan is to be repaid in monthly installments over three years. The total amount borrowed was $29,000. How much is the monthly payment?


A) $241.67 B) $493.00 C) $805.56 D) $1093.14

11.

A 7.4% discounted loan is to be repaid in monthly installments over ten years. The total amount borrowed was $19,500. How much is the monthly payment?


A) $112.50 B) $162.50 C) $166.50 D) $282.75

12.

A 7.4% addon loan is to be repaid in monthly installments over ten years. The total amount borrowed was $19,500. How much is the monthly payment?


A) $112.50 B) $162.50 C) $166.50 D) $282.75

13.

Annie wants to borrow $8000 to start a small business. She has found a bank that offers a 5.5% addon loan to be repaid in monthly installments over ten years. How much is the monthly payment?


A) $68.33 B) $83.33 C) $103.33 D) $113.33

14.

Annie wants to borrow $8000 to start a small business. She has found a bank that offers a 4% discounted loan to be repaid in monthly installments over ten years. How much should she borrow to get $8000 at the start of the loan?


A) $8333.33 B) $13,333.33 C) $14,333.33 D) $14,833.33

15.

Inez wants to borrow $2100 to start a small business. She has found a bank that offers a 7% addon loan to be repaid in monthly installments over five years. How much is the monthly payment?


A) $16.67 B) $26.00 C) $35.00 D) $47.25

16.

Inez wants to borrow $2100 to start a small business. She has found a bank that offers a 7% discounted loan to be repaid in monthly installments over five years. How much should she borrow to get $2100 at the start of the loan?


A) $2334.79 B) $3230.77 C) $3425.84 D) $4255.30

17.

Karana takes out a conventional loan to purchase a car. The interest rate is 6.4% compounded monthly and Karana has ten years to repay the $27,000 she borrowed. What are Karana's monthly payments?


A) $385.07 B) $305.21 C) $186.49 D) $171.48

18.

Moe takes out a conventional loan to purchase a car. The interest rate is 8.3% compounded monthly and Moe has eight years to repay the $12,000 he borrowed. What are Moe's monthly payments?


A) $385.07 B) $305.21 C) $186.49 D) $171.48

19.

Ellie takes out a conventional loan to purchase a car. The interest rate is 7.5% compounded monthly and Ellie has four years to repay the $12,000 she borrowed. What are Ellie's monthly payments?


A) $95.46 B) $139.33 C) $169.53 D) $290.15

20.

May takes out a conventional loan to purchase a car. The interest rate is 6.8% compounded monthly and May has six years to repay the $10,000 she borrowed. What are May's monthly payments?


A) $95.46 B) $139.33 C) $169.53 D) $290.15

21.

Suppose a student loan has an interest rate of 7% compounded monthly with monthly payments and the borrower has ten years to repay. If $12,000 is borrowed, what are the monthly payments?


A) $95.46 B) $139.33 C) $169.53 D) $290.15

22.

Suppose a student loan has an interest rate of 5% compounded monthly with monthly payments and the borrower has ten years to repay. If $9000 is borrowed, what are the monthly payments?


A) $95.46 B) $139.33 C) $169.53 D) $290.15

23.

Suppose a student loan has an interest rate of 5.8% compounded monthly with monthly payments and the borrower has ten years to repay. If $35,000 is borrowed, what are the monthly payments?


A) $385.07 B) $305.21 C) $186.49 D) $171.48

24.

Suppose a student loan has an interest rate of 6.2% compounded monthly with monthly payments and the borrower has ten years to repay. If $5000 is borrowed, what are the monthly payments?


A) $45.28 B) $56.01 C) $68.92 D) $73.10

25.

A credit card bill shows a balance due of $980 with a monthly interest rate of 1.91%. What is the APR?


A) 18.36% B) 19.99% C) 22.92% D) 25.49%

26.

A credit card bill shows a balance due of $980 with a monthly interest rate of 1.91%. What is the EAR?


A) 18.36% B) 19.99% C) 22.92% D) 25.49%

27.

A credit card bill shows a balance due of $2500 with a monthly interest rate of 1.53%. What is the APR?


A) 18.36% B) 19.99% C) 22.92% D) 25.49%

28.

A credit card bill shows a balance due of $2500 with a monthly interest rate of 1.53%. What is the EAR?


A) 18.36% B) 19.99% C) 22.92% D) 25.49%

29.

A credit card bill shows a balance due of $750 with a minimum payment of $15 and a monthly interest rate of 1.62%. What is the APR?


A) 17.28% B) 18.72% C) 19.44% D) 21.26%

30.

A credit card bill shows a balance due of $750 with a minimum payment of $15 and a monthly interest rate of 1.62%. What is the EAR?


A) 17.28% B) 18.72% C) 19.44% D) 21.26%

31.

A credit card bill shows a balance due of $1200 with a minimum payment of $24 and a monthly interest rate of 1.44%. What is the APR?


A) 17.28% B) 18.72% C) 19.44% D) 21.26%

32.

A credit card bill shows a balance due of $1200 with a minimum payment of $24 and a monthly interest rate of 1.44%. What is the EAR?


A) 17.28% B) 18.72% C) 19.44% D) 21.26%

33.

Find the future value of an annuity with monthly deposits of $350, made over a period of five years, with 4% interest compounded monthly.


A) $13,721 B) $23,205 C) $23,292 D) $30,707

34.

Find the future value of an annuity with monthly deposits of $250, made over a period of eight years, with 6% interest compounded monthly.


A) $13,721 B) $23,205 C) $23,292 D) $30,707

35.

Find the future value of an annuity with monthly deposits of $150, made over a period of ten years, with 5% interest compounded monthly.


A) $13,721 B) $23,205 C) $23,292 D) $30,707

36.

Find the future value of an annuity with monthly deposits of $75, made over a period of ten years, with 8% interest compounded monthly.


A) $13,721 B) $23,205 C) $23,292 D) $30,707

37.

How much would you have to invest each month in an annuity earning 5% monthly to earn $30,000 at the end of 30 years?


A) $14.32 B) $36.05 C) $39.82 D) $40.26

38.

How much would you have to invest each month in an annuity earning 5% monthly to earn $5000 at the end of 18 years?


A) $14.32 B) $36.05 C) $39.82 D) $40.26

39.

How much would you have to invest each month in an annuity earning 6% monthly to earn $40,000 at the end of 30 years?


A) $14.32 B) $36.05 C) $39.82 D) $40.26

40.

You invest $150 each month into an annuity earning 5.4% each month. How much do you have at the end of 18 years?


A) $48,826 B) $54,582 C) $64,651 D) $68,461

41.

You invest $100 each quarter into an annuity earning 8% each quarter. How much do you have at the end of 30 years?


A) $48,826 B) $54,582 C) $64,651 D) $68,461

42.

Find the future value of an annuity with monthly deposits of $150, made over a period of four years, with 5.2% interest compounded monthly.


A) $5777.18 B) $7984.39 C) $7706.18 D) $8254.28

43.

Find the future value of an annuity with monthly deposits of $60, made over a period of ten years, with 8.1% interest compounded monthly.


A) $11,038.21 B) $17,234.56 C) $29,668.96 D) $58,843.96

44.

Find the future value of an annuity with monthly deposits of $250, made over a period of 30 years, with 6.1% interest compounded monthly.


A) $153,264.36 B) $198,328.32 C) $231,235.54 D) $255,986.36

45.

Find the future value of an annuity with monthly deposits of $75, made over a period of five years, with 9.8% interest compounded monthly.


A) $5777.18 B) $7984.39 C) $7706.18 D) $8254.28

46.

How much would you have to invest each month in an annuity earning 6.5% monthly to earn $30,000 at the end of 15 years?


A) $84.77 B) $98.83 C) $146.93 D) $152.15

47.

How much would you have to invest each quarter in an annuity earning 5% quarterly to earn $20,000 at the end of 20 years?


A) $84.77 B) $98.83 C) $146.93 D) $152.15

48.

How much would you have to invest each month in an annuity earning 7.4% monthly to earn $15,000 at the end of ten years?


A) $84.77 B) $98.83 C) $146.93 D) $152.15

49.

You invest $75 each month into an annuity earning 6.2% each month. How much do you have at the end of 18 years?


A) $11,038.21 B) $17,234.56 C) $29,668.96 D) $58,843.96

50.

You invest $300 each quarter into an annuity earning 8.1% each quarter. How much do you have at the end of 20 years?


A) $11,038.21 B) $17,234.56 C) $29,668.96 D) $58,843.96

51.

You invest $200 each quarter into an annuity earning 8.1% each quarter. How much do you have at the end of 20 years?


A) $39,229 B) $19,779.31 C) $11,489.70 D) $7,358,81

52.

You have established an annuity plan that will accumulate to $50,000 in 10 years by investing $100 a month. If you instead invest $200 a month, what would your annuity accumulate?


A) more than $ 160,000 B) $150,000 C) $100,000 D) less than $90,000

53.

You have established an annuity plan that will accumulate to $30,000 in 10 years by investing $100 a month. If you instead invest $200 a month, what would your annuity accumulate?


A) $50,000 B) $60,000 C) more than $70,000 D) less than $45,000

55.

Which of these savings rates is most favorable?

A)

4% compounded quarterly

C)

4% compounded monthly

B)

4% compounded semiannually

D)

4% compounded annually

56.

Which of these savings rates is most favorable?

A)

4% compounded annually

C)

3.9% compounded quarterly

B)

3.9% compounded monthly

D)

3.8% continuously compounded

57.

Which of these savings rates is most favorable?

A)

5% compounded annually

C)

4.8% compounded quarterly

B)

4.9% compounded monthly

D)

4.8% continuously compounded

58.

Which of these savings rates is most favorable?

A)

6% compounded annually

C)

5.9% compounded quarterly

B)

5.8% compounded monthly

D)

5.8% continuously compounded

59.

Which of these loan rates is most favorable?

A)

12% compounded annually

C)

12% compounded quarterly

B)

12% compounded monthly

D)

12% continuously compounded

60.

Which of these loan rates is most favorable?

A)

12% compounded annually

C)

11.5% compounded quarterly

B)

11.5% compounded monthly

D)

11% continuously compounded

Answer Key
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