by yundt.imelda
Sharpen your financial acumen with our Simple Interest Quiz! This quiz will challenge your knowledge of basic interest calculations, helping you to better understand how money grows over time. Whether you’re a student, a professional, or just looking to improve your financial literacy, this quiz offers a fun and informative way to test your skills. Dive in and see how much you know about simple interest!
We recommend that you do not leave the page that you are taking this quiz in. Stay honest 🙂
Simple Interest Quiz Questions Overview
1. What is the formula for calculating simple interest?
Principal × Rate × Time
Principal × Rate / Time
Principal + Rate × Time
Principal / Rate × Time
2. If you invest $1,000 at an annual interest rate of 5% for 3 years, what is the simple interest earned?
$50
$150
$300
$500
3. What does the ‘principal’ refer to in the context of simple interest?
The total amount after interest
The initial amount of money invested or loaned
The interest rate
The time period of the investment
4. If the simple interest earned on a sum of money is $200 and the principal is $1,000 at a rate of 4%, what is the time period?
2 years
3 years
4 years
5 years
5. What is the simple interest on $2,500 at an annual interest rate of 6% for 2 years?
$150
$300
$600
$750
6. If the interest rate is 8% per annum, how much interest will $1,200 earn in 1 year?
$96
$120
$144
$160
7. Which of the following is NOT needed to calculate simple interest?
Principal
Rate
Time
Compounding frequency
8. If you borrow $500 at an annual interest rate of 10% for 4 years, how much total interest will you pay?
$50
$100
$200
$300
9. What is the total amount after 3 years if $800 is invested at an annual simple interest rate of 5%?
$880
$920
$960
$1,000
10. How does the time period affect the simple interest earned?
Interest decreases as time increases
Interest increases as time increases
Interest remains the same regardless of time
Interest is not affected by time
We recommend that you do not leave the page that you are taking this quiz in. Stay honest 🙂
