NAME: ________________________
4 Written Questions
4 Multiple Choice Questions
 The amount of money paid for the use of borrowed money
 The rate, usually expressed as a percent, used to calculate interest
 The principal plus the interest earned
 I = prt (Interest  principal • rate • time)
3 True/False Questions

Principal → The original amount deposited or borrowed

Formula for Compound Interest → I = prt (Interest  principal • rate • time)

Simple Interest → The interest calculated only on the principal