Name MAT 143 Quiz: 4B Use your formula sheet only to complete this quiz 1. Simple Interest. Round each answer to the nearest cent, ie the hundredths place 1. Beth made $80,000 in profit from the sale of her previous house. She decided to put $40,000 of that money into an account that earns simple interest at an annual rate of 3.5% for 8 years and 7 months. What will be the accumulated balance in the account at the end of that time period? 2. John received a stimulus check for $1400 and invested into an account paying 2.75% simple interest for 5 years. Find the amount of interest that John will have earned in 5 years. Il. Compound Interest: Round each answer to the nearest cent, ie the hundredths place 3. How much money should Tim invest today so that he will have $9000 for a tropical vacation for he and his wife in 5 years? The available rate is 3.15% compounded quarterly. Round to the nearest cent. 4. Find the final amount (maturity value) in an account where $5200 is invested at a rate of 4.25% compounded semi-annually for 4 years. Round to the nearest cent. 5. How much money should you invest now to have $85,000 in 20 years to help send your child to school? The money is invested at a rate of 3% compounded daily. Round to the nearest cent. 6. Carrie invests $4800 into an account paying a monthly compound interest rate of 2.64% for 15 years. Find the amount in Carrie's account at the end of the 15 years. Round to the nearest cent, Bonus: Sarah invests $25,000 into an account paying 3% compounded monthly. a) How much will Sarah have in her account after 10 months? b) How much interest did Sarah gain in the 10 months