Category 1
Samson opened a bank account with 1.25% simple interest. The total amount of interest Samson will earn after 20 years is $812.50. How much did Samson deposit when he opened the account?
$3,250
What is the first step in interest problems?
Find the interest for one year
What is the second step in interest problems?
Set up the equation
Which equation represents the total interest, T, earned when the principal amount is $100, the annual simple interest rate is 1% and the number of years is 10?
T = 100 x .01 x 10
Mika opened a bank account that earns simple interest with an initial deposit of $2200. At the end of the year, Mika had $2260.50 in her account. What was the simple interest?
2.75%
Vince borrows $900 to buy a couch. He will pay off the loan by paying 1.5% interest for 2 years. How much will Vince pay back altogether?
$927
Darryl deposits $1500 into a savings account that has an interest rate of 2.7%. Lori deposits $1400 into a savings account that has an interest rate of 3.8%. Who will have more money after 10 years? How much more?
Lori - $27
You decided to deposit $100 into a savings account with 4.5% interest. After a year, you got $4.50. What was the principal?
$100
You deposited $3500 with an interest rate of 4%. How much interest do you earn in 2 years?
$280