Interview
Financial Literacy Honors 2.04 Interest Rates and Inflation Answers
- Course
- Institution
Correct answers for this assignment. Florida virtual financial literacy honors lesson 2.04 assignment
[Show more]
2 reviews
By: katievicioso11 • 1 year ago
By: zacharyharris2005 • 2 year ago
Content preview
2.04 Put your Money Where your Mouth IsSimple Interest Choice Compound Interest Choice
Step One: Calculate the Interest Earned
Simple Interest Compound Interest
Year One 5000*3% = $150 5000*3% = $150
Multiply the amount deposited by the interest rate
Total $5150 Total $5150
Year Two 5000*3% = $150 5150*3% = $154.5
For simple interest, multiply the amount deposited
by the interest rate. For compound interest, Total $5300 Total $5304.5
multiply the sum of the amount deposited and the
year one interest by the interest rate.
Year Three 5000*3% = $150 5304.5*3% = $159.14
For simple interest, multiply the amount deposited
by the interest rate. For compound interest, Total $5450 Total $5463.64
multiply the sum of the amount deposited, the year
one interest, and the year two interest by the
interest rate.
Step Two: Calculate the taxes on the Interest earned
SUM: Find the sum of the interest earned in years one, two, and three for the simple interest:
Year 1 $150 + Year 2 $150 + Year 3 $150 = $450
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller vncnt455. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $4.48. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
77254 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now
