Simple Interest
Compound Interest
Mortgages
Basic Stats Terms
Mixed Review
100
I = Prt
What formula finds simple interest?
100
$60
Find the simple interest on $500 at 6% for 2 years.
100
$1,380
Find total amount for $1,200 at 5% simple interest for 3 years.
100
6.25%
If $50 interest is earned on $400 in 2 years, what is the rate?
100
$800
How much principal is needed to have $880 after 2 years at 10% simple interest?
100
Interest earns interest
What makes compound interest different from simple interest?
100
$1,102.50
Find the value of $1,000 at 5% compounded annually for 2 years.
100
$2,121.21
Find the value of $2,000 at 6% compounded quarterly for 1 year.
100
Annual compound interest
Over 3 years at 4%, which grows more: simple or annual compound interest?
100
About 6.17%
Approximate effective annual yield for 6% compounded monthly.
100
A home loan secured by property
What is a mortgage?
100
360
How many monthly payments are in a 30-year mortgage?
100
It decreases
If the interest rate decreases on the same loan amount and term, what happens to the monthly payment?
100
How each payment is split between principal and interest
What does an amortization schedule show?
100
Interest
In the early years of a fixed-rate mortgage, more of each payment goes to what?
100
The entire group of interest
What is a population?
100
A subset of the population
What is a sample?
100
A systematic error that favors certain outcomes
What is bias in data collection?
100
A parameter describes a population; a statistic describes a sample
What is the difference between a parameter and a statistic?
100
A sample in which each member has an equal chance of being selected
What is a simple random sample?
100
4
Find the mean of 2, 4, 6.
100
6.5
Find the median of 2, 3, 10, 12.
100
3
Find the mode of 1, 2, 2, 3, 3, 3.
100
7
Find the range of 5, 9, 12.
100
The spread or variability of data around the mean
What does standard deviation measure?
M
e
n
u