Nagwa uses cookies to ensure you get the best experience on our website. Learn more about our Privacy Policy.

# Worksheet: Solving Problems Involving Simple Interest

Q1:

Find the simple interest earned in a savings account given that \$552 is deposited for 7 months with an interest rate of per year.

Q2:

Find the simple interest earned on a savings account where \$5 600 is deposited for 7 years if the interest rate is per year.

Q3:

How much interest will Dorothy earn in 10 years if she deposits \$305 in a savings account at simple interest?

Q4:

The following table represents a bank’s different loan packages. Determine, to the nearest cent, the simple interest earned on \$3 700 for 12 months.

 Time Rate 6 months 9 months 12 months 18 months

Q5:

In a bank, the interest rate is per year. How much would Jeremy earn if he deposited \$5 985 in his savings account for years? Round your answer to the nearest cent.

Q6:

Determine the profit Jacob made in a year from depositing \$490 000 in a savings account with an annual interest rate of .

Q7:

Alice wants to invest an amount of \$1 400. Her bank offers two savings plans that use simple interest. Account A has an interest of over 24 months, and Account B has an interest of over 12 months. If she wants to have \$1 600 by the end of the term, determine which account will help her achieve her goal.

• AAccount A
• BAccount B

Q8:

Determine the interest earned on an account, given that an amount of \$2 200 is deposited for 8 years and that the interest rate is per year.

Q9:

Russell deposited \$6 800 into his bank account, which earned simple interest. How much will he have in his account after 19 years?

Q10:

If Liam invests \$4 500 in an account that yields a simple interest of a , determine how much money the account will have after 4 years.

Q11:

Olivia invested \$6 600 at an interest of . In how many years will she have \$8 910?

Q12:

Benjamin had \$820 000. He paid \$250 000 in taxes and invested the rest in a savings account with a simple interest. Determine the amount of money in Benjamin’s account if he makes no deposits or withdrawals for two years.

Q13:

If Jennifer invested \$4 500 in a certificate of deposit for 5 years and earned \$765, determine the rate of interest.

Q14:

Mr. Paul put his life savings of \$490 000 in a savings account. If he earns \$47 040 in simple interest every year, determine the interest rate on his account.

Q15:

Albert invested \$2 800 in a new business. Given that, after 27 months, he earned \$630, determine the interest rate that was agreed upon.

Q16:

Owen deposited \$500 in his new bank account at a simple interest rate of . If he made no further deposits or withdrawals, how much money will be in his account after years?

Q17:

Nicholas has \$2 100 and he wants to save up to buy a car. Nicholas’s goal is to have \$4 000 after 9 years. Is this possible if he invests with a simple rate of return of ?

• Ano
• Byes

Q18:

Dana bought new clothes for \$360 for a new job using a credit card with an interest rate of . Determine the amount of money she will owe the bank if she makes no other charges on the card and does not pay off the balance at the end of the month.