Money and Interest Rates Quiz
Test your knowledge of money, interest rates, and financial concepts. Answer all questions to the best of your ability.
Full Name
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First Name
Last Name
Email Address
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example@example.com
What is the definition of simple interest?
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Interest calculated only on the original principal
Interest calculated on both principal and accumulated interest
Interest paid at irregular intervals
Other
In which of the following situations would compound interest be used?
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Savings accounts that earn interest on both principal and previously earned interest
Paying a one-time fee for a service
Paying for groceries in cash
Other
If you deposit $1,000 in a savings account that pays 5% annual simple interest, how much interest will you have earned after 3 years?
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Which of the following statements about interest rates is TRUE?
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A higher interest rate means you earn more on savings.
A lower interest rate means you pay more on loans.
Interest rates do not affect loan payments.
Other
Match the following terms to their correct definitions.
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Rows
Definition
Principal
The original amount of money invested or loaned
The percentage charged or earned on money
Interest calculated on principal only
Interest calculated on principal and accumulated interest
Interest Rate
The original amount of money invested or loaned
The percentage charged or earned on money
Interest calculated on principal only
Interest calculated on principal and accumulated interest
Simple Interest
The original amount of money invested or loaned
The percentage charged or earned on money
Interest calculated on principal only
Interest calculated on principal and accumulated interest
Compound Interest
The original amount of money invested or loaned
The percentage charged or earned on money
Interest calculated on principal only
Interest calculated on principal and accumulated interest
What is the formula for calculating simple interest?
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Simple Interest = Principal × Rate × Time
Simple Interest = Principal + Rate + Time
Simple Interest = Principal ÷ Rate × Time
Other
A loan of $2,000 is taken at an annual simple interest rate of 6%. How much interest will be owed after 2 years?
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Which factors affect the total amount of interest earned or paid? (Select all that apply)
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Principal amount
Interest rate
Time period
Number of payments per year
Other
If the interest rate on your savings account increases, what will happen to the amount of interest you earn?
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It will increase
It will decrease
It will stay the same
Other
What is your confidence level in your answers to this quiz?
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Not confident
1
2
3
4
Very confident
5
1 is Not confident, 5 is Very confident
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