Simple Interest
Find "I"
P: $34,000
R: 4%
T: 3 years
What is $38,192.00?
$1,240 at 8% compounded annually for 2 years
What is $1,446.34?
When one signs the back of the check for the bank to process.
Endorsing a Check
Explain the Simple Interest Formula: Define each piece.
What is I = PRT?
I = Interest
P = Principle
R = Rate
T = Time
Harmony has a balance of $321.98. She deposits a personal check written to her for $232.00 for services. Her monthly car insurance debits her account for $132.48. What is her new balance?
What is $421.50?
$210 at 8% for 7 years
What is $327.60?
$1,030 at 4% compounded annually for 2 years
What is $1,114.05?
In the word ATM, define each letter.
Automated Teller Machine
A type of savings in an account where money must remain untouched and has ability to grow in greater interest increments.
What is a CD account?
How much is a $6000.00 annual payment divided up into monthly payments?
What is $500/month?
$4,000 at 3% for 4 years
What is $4,480.00?
$12,700 at 8.8% compounded semiannually for 1 year
What is $13,842.19?
2 ways a person can avoid paying a checking account maintenance fee.
1.) maintain minimum balance
2.) direct deposit
What is a 24-hr. automatic banking service for individuals with credit/debit cards?
What is an ATM?
Alexa buys a samsung smart tv for $749.99 that comes with a mail and rebate of $199.99. She files all appropriate paperwork and buys the tv. If no other transactions were made, how much did Alexa spend on the tv?
What is $550.00?
$20,600 at 8% for 2 years
What is $23,896.00?
$28,600 at 7.9% compounded semiannually for 1 years
What is $30,904.02?
Explain the difference between simple interest and compound interest.
Simple - calculated only on principle
Compound - calculated on principle and previous interest earned.
When money is added to your bank account automatically in the form of a paycheck without having to go to the bank.
What is direct deposit?
The PRVTHS bank charges a monthly maintenance fee of $4.00 for failure to maintain a minimum balance of $150.00. Mark the Shark has $190.00 in his bank account, and withdraws $40.00 for his friend Larry the Lobster, from an ATM that charges a $2.95 service fee. How much is his balance?
What is $143.05?
$14,000 at 6% for 9 years
What is $21,560.00?
$130 at 9.4% compounded semiannually for 1 year
What is $142.51?
What does the Federal Deposit Insurance Corporation (FDIC) guarantee?
Bank guarantees safety of money in bank account by insuring each depositor up to $250,000.
A type of loan that charges a fee for not having the available funds.
What is overdraft protection?
Heather Anderson has $5,067.53 in her checking account. She wrote her bestie Mrs. McWilliams a $524.67 check for money she borrowed. Netflix debited her account for $7.99 service fee as well as $14.99 Apple Music Membership fee. She received her paycheck for $1,234.21 as a direct deposit into her account. What is her current balance?
What is $5,754.09?