CHAPTER 5 TEST - Personal Finance 11/2015

CHAPTER 5 TEST - Personal Finance
11/2015
Multiple Choice
Identify the choice that best completes the statement or answers the question.
____
____
____
____
____
1. Pamela Ericson wants to deposit a check for $955 and $45 in cash into her savings account. What is her total
deposit?
a. $100
c. $10,000
b. $1,000
d. $10
2. Nina Nochez deposits the money collected at a charity fundraiser into the charity’s savings account. She has
checks amounting to $2,753. She also has 50 twenty-dollar bills, 50 ten-dollar bills, 45 five-dollar bills, 187
one-dollar bills, and $42 in coins. What is the total deposit?
a. $4,707
c. $4,809
b. $3,807
d. $3,908
3. Andy Eichel deposits the money he made at his garage sale into his savings account. He has 47 twenty-dollar
bills, 51 ten-dollar bills, 25 five-dollar bills, and 36 one-dollar bills. What is his total deposit?
a. $1,811
c. $1,711
b. $1,611
d. $1,310
4. Clarence Watson wants to deposit four checks for $73.42, $197.01, $263.85, and $13.13 into his savings
account. What is his total deposit?
a. $547.41
c. $548.65
b. $567.98
d. $543.23
5. Fifty-seven and
dollars as a numeral is:
a. $56.70
b. $53.40
c. $34.50
d. $57.50
____
6. Seven hundred sixty-six and
dollars as a numeral is:
____
a. $676.50
c. $766.70
b. $765.70
d. $666.70
7. Winona Larkin wants to withdraw $2,107.40 from her savings account for a vacation. The amount in words
on her savings withdrawal slip is:
a. two thousand one hundred seven and
dollars
b. two thousand one hundred seventy and
dollars
c. two thousand one hundred seventy-one and
d. two-thousand and one-hundred seventy-one and
____
____
dollars
dollars
8. Maxwell Collins withdraws $268.75 from his savings account. How will it appear in word form on his
withdrawal slip?
a. two hundred sixty-nine and
dollars
b. two hundred eighty-six and
dollars
c. two hundred sixty-eight and
dollars
d. two-hundred sixty-eight and
dollars
9. Pedro Romar’s savings account statement shows a previous balance of $895.00 and $3.50 in interest. He
made a deposit of $210.00. He had a withdrawal of $20.50. What is his new balance?
a. $1,088.00
c. $1,098.50
b. $1,088.50
d. $1,098.00
____ 10. Colette Yamaguchi’s savings account statement is shown below. What is her new balance?
Previous
Balance
$50.50
+
Interest
+
Deposits
–
Withdrawals
=
+
$3.00
+
$27.50
–
$10.00
=
New Balance
a. $76
c. $86
b. $71
d. $81
____ 11. Latoya Williams’ savings account statement is shown below. What is her new balance?
Previous
Balance
$968.75
____ 12.
____ 13.
____ 14.
____ 15.
____ 16.
+
Interest
+
Deposits
–
Withdrawals
=
+
$8.37
+
$27.00
–
$138.93
=
New Balance
a. $866.91
c. $866.19
b. $865.19
d. $1,143.05
The previous balance on Hector Todd’s savings account is $618.21. He has $4.31 in interest, $466.26 in
deposits, and $10.10 in withdrawals. What is his new balance?
a. $1,078.90
c. $1,078.68
b. $1,178.68
d. $1,068.78
The previous balance on Hazel Taylor’s savings account is $876.21. She has $2.39 in interest, $616.46 in
deposits, and $298.06 in withdrawals. What is her new balance?
a. $1,198
c. $1,297
b. $1,199
d. $1,197
Jaycee Alvarez deposits $300 in a savings account at City Bank. The account pays an annual interest rate of 5
percent. She makes no other deposits or withdrawals. After three months the interest is calculated. How much
simple interest does her money earn?
a. $4.00
c. $3.75
b. $3.95
d. $4.25
Stephen Snell has $400 in his savings account. His annual interest rate is 4 percent. What is the interest after
six months?
a. $7
c. $6
b. $8
d. $16
Trevor Williams’ bank calculates interest on a daily basis. Complete the following interest calculations:
Principal
× Rate
×
$2,000
× 0.03
×
Time
=
Interest
=
a. $1.97
c. $1.95
b. $2.75
d. $3.90
____ 17. Tamika Jamison’s bank calculates interest on a daily basis. Complete the following interest calculations:
Principal
× Rate
×
$3,900
× 0.06
×
Time
=
=
Interest
____ 18.
____ 19.
____ 20.
____ 21.
____ 22.
____ 23.
a. $15.65
c. $15.95
b. $13.45
d. $15.39
Natasha Evans deposited $1,100 in a savings account that earns 5 percent interest compounded quarterly. The
amount in her account at the end of the second quarter was $1,127.67. How much compound interest had she
earned?
a. $27.67
c. $13.67
b. $13.68
d. $127.67
Three thousand dollars is deposited at 8 percent interest compounded semiannually. What is the amount in the
account at the end of 1 year?
a. $3,588.00
c. $4,876.90
b. $3,244.80
d. $2,980.55
Malik Montez’s savings account has a principal of $1,640. It earns 6 percent interest compounded quarterly.
What is the amount at the end of the second quarter?
a. $1,634.23
c. $1,689.57
b. $1,657.89
d. $1,897.67
Marta Perez’s savings account has a principal of $1,800. It earns 6 percent interest compounded
semiannually. How much is the compound interest after 1 year?
a. $108.00
c. $54.00
b. $55.62
d. $109.62
Ginger Yiu has a principal of $900 in her savings account. It earns 6 percent interest compounded quarterly.
What is the amount in the account at the end of the third quarter?
a. $945.22
c. $935.67
b. $941.11
d. $987.33
Trina Wilsons’ bank calculates interest on a daily basis. Complete the following interest calculation:
Principal
× Rate
×
$3,500
× 0.05
×
Time
=
Interest
=
a. $41.35
b. $46.55
c. $45.73
d. $43.63
Figure 5.1. Use this table with the question(s) below, as needed.
Compound Interest—Amount of $1.00
Total
Interest
Periods
1
2
3
4
5
6
7
8
Interest Rate per Period
1.250%
1.01250
1.02515
1.03797
1.05094
1.06408
1.07738
1.09085
1.10448
1.375%
1.01375
1.02768
1.04182
1.05614
1.07066
1.08538
1.10031
1.11544
1.500%
1.01500
1.03022
1.04567
1.06136
1.07728
1.09344
1.10984
1.12649
____ 24. Use Figure 5.1. Home City Bank pays 5 percent interest compounded quarterly on regular savings accounts.
Miguel Cardosa deposited $1,000 for 1 year. He made no other deposits or withdrawals. How much interest
did he earn during the 1 year?
a. $50.94
c. $40.67
b. $45.75
d. $35.70
____ 25. Use Figure 5.1. Benita Lopez opened an account and deposited $3,600. The account pays 6 percent annual
interest and compounds quarterly. She made no other deposits or withdrawals. How much interest did she
earn during 1 year?
a. $225.85
c. $275.65
b. $220.90
d. $175.95
____ 26. Use Figure 5.1. When their child was born, Elaine and Mike Porter deposited $5,000 in a savings account at
Tennessee Trust. The money earns interest at 6 percent compounded quarterly. How much will the account be
worth when their child celebrates her second birthday?
a. $5,575.55
c. $5,675.95
b. $5,550.75
d. $5,632.45
____ 27. Use Figure 5.1. Joaquin Sanchez opened an account at Midwest Savings by depositing $827. The bank pays
5.5 percent interest compounded quarterly. He makes no other deposits or withdrawals. How much will the
account be worth after 2 years?
a. $895.47
c. $922.46
b. $95.47
d. None of the above.
Figure 5.2. Use this table with the question(s) below, as needed.
Day
21
22
23
24
25
Amount of $1.00 at 5.5%
Compounded Daily, 365-Day Year
Amount
Day
Amount
1.00316
31
1.00468
1.00331
32
1.00483
1.00347
33
1.00498
1.00362
34
1.00513
1.00377
35
1.00528
____ 28. Use Figure 5.2. Asia Desai deposited $6,000 in a savings account that pays 5.5 percent interest compounded
daily. How much interest did she earn in 21 days?
a. $18.96
c. $21.44
b. $19.02
d. $22.96
____ 29. Use Figure 5.2. Maurice Luken deposited $3,021 in a savings account that paid 5.5 percent interest
compounded daily. How much interest did he earn in 31 days?
a. $16.14
c. $14.14
b. $16.18
d. $35.14
____ 30. Use Figure 5.2. Alaqua Firth’s savings account balance is $247. She deposited an additional $353. The
account pays 5.5 percent interest compounded daily. She makes no other deposits or withdrawals. What will
the new balance be after 31 days?
a. $1.81
c. $602.48
b. $2.81
d. $602.81
Figure 5.3. Use this table with the question(s) below, as needed.
Future Value of an Ordinary Annuity for $1.00 per Period
Quarterly
Period “n”
1
2
3
4
5
6
7
8
9
10
11
12
0.50%
$1.00000
$2.00500
$3.01502
$4.03010
$5.05025
$6.07550
$7.10588
$8.14141
$9.18212
$10.22803
$11.27917
$12.33556
Rate Per Period
1.00%
1.50%
$1.00000
$1.00000
$2.01000
$2.01500
$3.03010
$3.04522
$4.06040
$4.09090
$5.10101
$5.15227
$6.15202
$6.22955
$7.21354
$7.32299
$8.28567
$8.43284
$9.36853
$9.55933
$10.46221
$10.70272
$11.56683
$11.86326
$12.68250
$13.04121
2.00%
$1.00000
$2.02000
$3.06040
$4.12161
$5.20404
$6.30812
$7.43428
$8.58297
$9.75463
$10.94972
$12.16872
$13.41209
____ 31. Use Figure 5.3. Clayton Camp deposits $500 in an ordinary annuity at the end of each quarter. The account
earns 6 percent interest compounded quarterly. What is the future value of the account in 2 years?
a. $4,216.42
c. $4,335.90
b. $4,532.01
d. $4,008.34
____ 32. Use Figure 5.3. Aiko Murakami deposits $900 in an ordinary annuity at the end of each quarter in an account
earning 6 percent interest compounded quarterly. What is the future value of the account in 1 year?
a. $3,002.98
c. $3,681.81
b. $2,987.01
d. $4,001.90
____ 33. Use Figure 5.3. Carlene Campbell deposits $1,900 in an ordinary annuity at the end of each quarter in an
account earning 8 percent interest compounded quarterly. What is the future value of the account in 2 years?
a. $22,430.01
c. $18,987.22
b. $16,307.64
d. $14,891.09
____ 34. Use Figure 5.3. Florence Rice deposits $6,000 in an ordinary annuity at the end of each quarter in an account
earning 6 percent interest compounded quarterly. What is the future value of the account in 2 years?
a. $50,597.04
c. $34,450.10
b. $48,778.98
d. $45,800.00
____ 35. Use Figure 5.3. Martin Randall deposits $500 in an ordinary annuity at the end of each quarter in an account
earning 8 percent interest compounded quarterly. What is the future value of the account in 2 years?
a. $3,900.80
c. $4,331.76
b. $4,000.12
d. $4,291.49
____ 36. Erica Glaser wants to deposit a check for $20,005 and cash amounting to $1,234. What is her total deposit?
a. $23,239
c. $23,219
b. $21,239
d. $21,999
____ 37. Six thousand fifty-seven and
dollars as a numeral is:
a. $6,570.43
c. $6,157.43
b. $6,057.00
d. $6,057.43
____ 38. Sophia Montez has a check for $555.50 and a check for $221.25. She also has $230 in bills. She would like to
receive $5 in cash and deposit the rest of the money in her savings account. What is the total deposit?
a. $1,090.22
c. $1,098.75
b. $1,001.75
d. $1,000.56
____ 39. Lincoln Cook has a check for $667.50 and a check for $126.25. He also has $482.00 in bills. He would like to
receive $25.00 in cash and deposit the rest of the money in his savings account. What is the total deposit?
a. $1,275.75
c. $1,375.50
b. $1,250.75
d. $1,275.00
____ 40. Trey Blackman’s bank calculates interest on a daily basis. Complete the following interest calculation:
Principal
× Rate
×
$3,300
× 0.04
×
Time
=
Interest
=
a. $4.34
c. $4.01
b. $4.21
d. $3.12
____ 41. William Walker’s bank calculates interest on a daily basis. Complete the following interest calculations:
Principal
× Rate
×
$1,450
× 0.03
×
Time
a. $2.86
b. $3.25
____ 42. Twenty-two thousand sixty-six and
a. $22,606.92
b. $22,066.92
____ 43. Four thousand six hundred two and
=
Interest
=
c. $3.15
d. $2.85
dollars in numeral form is:
c. $22,060.92
d. $20,060.92
dollars in numeral form is:
a. $4,602.00
c. $4,602.50
b. $4,620.50
d. $6,602.50
____ 44. Wally Louis deposits the money from a donation box in his club’s savings account. He has checks amounting
to $753. He also has 15 twenty-dollar bills, 12 ten-dollar bills, 45 five-dollar bills, 187 one-dollar bills, and
$42 in coins. What is the total deposit?
a. $1,627
c. $1,762
b. $1,267
d. $1,585
____ 45. Wilma Hornsby deposits the money collected at her swim club in the club’s savings account. She has checks
amounting to $143. She also has 1 twenty-dollar bill, 6 ten-dollar bills, 6 five-dollar bills, 81 one-dollar bills,
and $32 in coins. What is the total deposit?
a. $396
c. $445
b. $366
d. $376
CHAPTER 5 TEST - Personal Finance
Answer Section
11/2015
MULTIPLE CHOICE
1.
2.
3.
4.
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28.
29.
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31.
32.
33.
34.
35.
36.
37.
38.
39.
40.
41.
ANS:
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B
A
B
A
D
C
A
C
A
B
B
C
D
C
B
A
D
A
B
C
D
B
D
A
B
D
C
A
C
D
A
C
B
A
D
B
D
B
B
A
A
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1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
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Basic
Average
Average
Average
Basic
Basic
Average
Average
Basic
Basic
Average
Average
Average
Basic
Basic
Average
Average
Basic
Basic
Average
Average
Average
Average
Basic
Basic
Average
Average
Basic
Basic
Average
Basic
Basic
Average
Average
Average
Average
Basic
Basic
Basic
Average
Average
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Section 5-1
Section 5-1
Section 5-1
Section 5-1
Section 5-2
Section 5-2
Section 5-2
Section 5-2
Section 5-3
Section 5-3
Section 5-3
Section 5-3
Section 5-3
Section 5-4
Section 5-4
Section 5-4
Section 5-4
Section 5-5
Section 5-5
Section 5-5
Section 5-5
Section 5-5
Section 5-4
Section 5-6
Section 5-6
Section 5-6
Section 5-6
Section 5-7
Section 5-7
Section 5-7
Section 5-8
Section 5-8
Section 5-8
Section 5-8
Section 5-8
Section 5-1
Section 5-2
Section 5-1
Section 5-1
Section 5-4
Section 5-4
42.
43.
44.
45.
ANS:
ANS:
ANS:
ANS:
B
C
A
B
PTS:
PTS:
PTS:
PTS:
1
1
1
1
DIF:
DIF:
DIF:
DIF:
Average
Average
Average
Average
REF:
REF:
REF:
REF:
Section 5-2
Section 5-2
Section 5-1
Section 5-1