1. PRINCIPAL
RATE
TIME
INTEREST
(a)
$2 500
7.75%
3 years
2500x0.0775x3 =
(b)
1 500
5.25%
6 months
1500x0.0525x0.5 = 39.39
(c)
1 250 7%
90 days
1250x0.07x0.25 = 21.88
(d)
800
4.5%
1 year
800x0.045x1 = 36.00
(e)
2 225
9.5%
18 months
2225x0.095x1.5 =
(f)
10 560
2.5%
180 days
10560x0.025x0.5 = 132
(g)
8 790
4.75%
2 years
8790x0.0475x2 =
(h)
3 480
2.25%
9 months
3480x0.025x0.75 = 65.25
(i)
5 225
8.25%
200 days
5225x0.0825x0.55 =
(j)
1 600 2%
4 months
1600x0.02x0.3 = 9.60

2. Gerald loaned $750 to his friend who promised to pay him back in 9 months plus interest at 12%. How much did Gerald earn on his investment?
I = Prt I = 750x.12x0.75 I = 67.50

3. I = Prt I = 456.97x0.055x0.33 I = 8.29 Rebate = 456.97 + 8.29 = 465.26
Revenue Canada was late sending Jennifer her rebate of $ so interest at 5.5% was added to compensate for the rebate being 120 days late. How much was Jennifer’s rebate
I = Prt I = x0.055x0.33 I = 8.29 Rebate = =

4. What was the monthly simple interest earned on a loan for $1500 if the rate was 9.5%
I = Prt I = 1500x0.095x0.083 I = 11.83

5. Jimmy’s mother gave him a $500 bond for Christmas
Jimmy’s mother gave him a $500 bond for Christmas. The bond paid interest semi-annually at the rate of 5.75% per year. How much interest did Jimmy earn the first six months?
I = Prt I = 500x0.0575x0.5 I = 14.38