Vocabulary
Formulas you should know!
Can you Tip?
Let's Invest!
100
Spending on non essential things.
Discretionary Spending or Discretionary Expenses
100
It is what this formula is used to calculate.
Mean or Average
100
The tip you paid on this $30 meal because it was delicious and your server was kind and considerate. (calculate 20%)
$6
100
You invest $10,000 at 4 percent SIMPLE interest for 12 years. How much is your account worth after 12 years?
$14,800
200
Spending on food, shelter, and necessary items for living.
Essential Expenses or Essential Spending
200
Its is the interest being applied to an account using this formula.
Simple Interest
200
Your Homie wanted a new look and spent hours at the salon!! He is not satisfied with the result which costs $60!. You encourage him to pay at least a 5% tip because you know the hair dresser tried her best.
$3
300
This is a loan that you take out in order to buy a home.
Mortgage
300
This interest calculated using this formula.
Compound Interest
300
That Knotless Boho was on point! And you weren't even charged for the hair. the final cost was $150 and you gave this 25% time. (calculate the tip)
$37.50
400
Interest that Is calculated on the Principle ONLY.
Simple Interest
400
This is what the P stands for in this formula.
The Principle. The initial amount of money placed in an account.
400
You promised to help a family friend clean out their house, but decided to call A and E cleaners to do the job because of the amount of work. They did a good job, but they were late three times and they left some work for you to do. If you paid them $1035 including the tip and they charged you $900, this is the percentage tip you paid.
15%
500
Interest that is calculated on interest added to the principle.
Compound Interest
500
This is what n stands for in this formula.
The number of times the interest is compounded yearly.
500
This is not a tipping question...Mbad!
So you buy this sweatshirt for your favorite summer math teacher in 2026. The tag says $35. You end up paying $38.15. This is the tax on the hoodie in Niagara Falls.
9%
600
It is a score or a rating given to you that estimates your ability to pay back a loan.
Credit Score or Credit Rating
600
This is the value of (1+r/n) if the interest rate is 3.5% and the interest will be compounded 7 times per year)
(1+r/n)=1.005
600
Your family went out to eat and you calculate the total to be $200. When you get the bill, it says $236. This is called gratuity and you calculate the percentage as this.
18%