Study

Calculating Interest

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  • Simple interest at a rate of 8% per annum is paid on an investment of $1750. The term of the investment is chosen so that the total interest earned will be at least $250. The minimum term for this investment, to the nearest month, is
    22 months
  • The simple interest payable on an initial investment of $10 000 invested at 3.5% per annum for three years will be
    $1050
  • Calculate the amount which should be invested (to the nearest cent) to achieve the amount of $16 000 in two years’ time if the principal is invested at 4% per annum compounded yearly
    $14 792.90
  • Find the rate of simple interest (correct to one decimal place) when $200 500 invested for two-and-a-half years and earning $30 075 interest
    6%
  • Calculate the amount which should be invested (to the nearest cent) to achieve the amount of $12 000 in four years’ time if the principal is invested at 7% per annum compounded yearly
    $9154.74
  • $50 000 invested at 4% per annum for ten years
    $74 012.21
  • How much should be invested to achieve the amount of $12 300 if the principal is invested at a simple interest rate of 5% per annum for five years
    $9840
  • The amount of money which should be invested at 6.5% per annum compound interest, compounding monthly, if you require $20 000 in four years time is closest to
    $15 432
  • The amount of money that should be invested at 5.75% per annum compound interest, compounding monthly, if you require $50 000 in three years time is closest to
    $42 095
  • The simple interest payable on an initial investment of $20 000 invested at 5.5% per annum for four years will be
    $4400
  • How much should be invested to earn the interest of $22 500 calculated at 4% per annum simple interest over 18 months
    $375 000
  • If you require $20 000 in two years time, the amount that you should invest at 6.5% per annum simple interest is closest to
    $17 700
  • How much should be invested to earn the interest of $10 500 calculated at 3% per annum simple interest over 42 months
    $100 000
  • Calculate the amount of compound interest when $2000 invested at 6% per annum for four years
    $2524.95
  • The compound interest, to the nearest dollar, on $2000 over a period of five years at an interest rate of 6.1% compounded annually is
    $689
  • Find the rate of simple interest (correct to one decimal place) when $150 invested for 18 months and earning $7.88 interest
    3.5%
  • Find the rate of simple interest (correct to one decimal place) when $10 000 increases to $12 000 in two years
    10%
  • Find the number of years taken for an investment of $10 000 at 5% per annum earns $1500
    3 years
  • How much should be invested to earn the interest of $1000 at a simple interest rate of 5% per annum over five years
    a $4000
  • The amount that should be invested at 8% per annum simple interest, if you require $30 000 in three years time, is closest to
    $24 190
  • Suppose that $50 000 is invested at 5.5% per annum compounding monthly. The amount of interest the investment earns in the sixth year is closest to
    $3710
  • Suppose that $10 000 is invested at 4.8% per annum compounding monthly. The amount of interest the investment earns in the seventh year is closest to
    $654
  • The simple interest paid on an investment of $1000 over five years is $150. The required interest rate is
    3%
  • The simple interest paid on an investment of $1000 over five years is $150. The required interest rate is
    3%