Finastra Assessment Test Finastra Math Assessment 2 — Questions and Answers
Question 1: A bank's loan portfolio grew from $4.2 million to $5.46 million. What is the percentage increase?
- 22%
- 28%
- 30% (Correct answer)
- 18%
Correct answer: 30%
Percentage increase = (5.46 - 4.2) / 4.2 × 100 = 1.26 / 4.2 × 100 = 30%.
Question 2: An investment compounds annually at 6% for 2 years. What is the compound interest earned on a $10,000 principal?
- $1,200
- $1,236 (Correct answer)
- $1,260
- $1,300
Correct answer: $1,236
A = 10,000 × (1.06)² = 10,000 × 1.1236 = $11,236, so interest = $1,236.
Question 3: A financial analyst needs to split $75,000 in profits among three partners in the ratio 2:3:5. How much does the partner with the largest share receive?
- $15,000
- $22,500
- $37,500 (Correct answer)
- $30,000
Correct answer: $37,500
Total parts = 10; largest share = 5/10 × $75,000 = $37,500.
Question 4: A treasury bond pays $450 interest on a $9,000 face value. What is the yield as a percentage?
- 4%
- 5% (Correct answer)
- 6%
- 4.5%
Correct answer: 5%
Yield = 450 / 9,000 × 100 = 5%.
Question 5: If a stock's P/E ratio is 25 and its earnings per share is $4, what is the stock price?
- $29
- $80
- $100 (Correct answer)
- $125
Correct answer: $100
Stock price = P/E ratio × EPS = 25 × $4 = $100.
Question 6: A currency exchange converts $8,500 USD to euros at a rate of 0.92. How many euros are received?
- 7,820 € (Correct answer)
- 8,120 €
- 9,239 €
- 7,540 €
Correct answer: 7,820 €
Euros = 8,500 × 0.92 = 7,820 €.
Question 7: A credit card balance of $2,400 accrues simple interest at 18% APR for 6 months. What is the total interest owed?
- $216 (Correct answer)
- $432
- $324
- $144
Correct answer: $216
Interest = 2,400 × 0.18 × (6/12) = 2,400 × 0.09 = $216.
Finastra Assessment Test Finastra Math Assessment 2
A bank's loan portfolio grew from $4.2 million to $5.46 million.
What is the percentage increase?