Question

7. Ariel takes a loan of $8,000 to buy a used truck at the rate of 9 % simple interest. Calculate the

annual interest to be paid for the loan amount.
A. 1730
B.2345
C. 720
D. 14
E. 72
8. Steve invested $ 10,000 in a savings bank account that earned 2% simple interest. Find the interest
earned if the amount was kept in the bank for 4 years.
A. 500
B. 300
C. 1200
D. 800
E. 600

Answer 1

7. C. 720
8. D. 800 (don’t forget to multiply the interest rate by the 4 years)