FREE Finastra Math Assessment Test Questions and Answers
If interest is compounded every quarter, what is "n"?
Explanation
When interest is compounded every quarter, "n" represents the number of compounding periods per year. In this case, since there are 4 quarters in a year, "n" would be equal to 4.
Decimalize 150% to get its value.
Explanation
To convert 150% to a decimal, you need to divide it by 100.
150% / 100 = 1.5
So, the decimal value of 150% is 1.5. This means that if you have a value of 150% and you want to convert it to a decimal, you would multiply the value by 1.5.
Which of these situations calls for the use of the formula A=Pert?
If interest is compounded every month, what is "n"?
Explanation
When interest is compounded every month, "n" represents the number of compounding periods per year. In this case, since interest is being compounded every month, there are 12 months in a year, so "n" would be equal to 12.
How much money would you have after four years if you invested $300 at 6% compounded continuously?
Explanation
FV = PV x e^(r*t)
where:
FV = Future Value (the amount of money you will have after 4 years)
PV = Present Value (the amount of money you invest)
r = Annual Interest Rate (expressed as a decimal)
t = Time period (in this case, 4 years)
Using this formula and the given values, we can calculate the future value of an investment of $300 at 6% compounded continuously after 4 years as:
FV = $300 x e^(0.06 x 4)
FV = $300 x e^(0.24)
FV = $300 x 1.2712491
FV = $381.37 (rounded to the nearest cent)
Therefore, if you invest $300 at 6% compounded continuously, you will have approximately $381.37 after four years.
What is 7.25% expressed in decimal form?
Explanation
In decimal form, 7.25 percent equals 0.0725.
You are paying $990 for a television with 9% sales tax. How much will the TV cost in the end?
Explanation
If you are paying $990 for a television with a 9% sales tax, you can calculate the total cost of the television including tax by adding the sales tax to the price of the television. To do this, you can use the following formula:
Total cost = Price of the television + Sales tax
where:
The price of the television is $990
Sales tax is 9% of the price of the television, which is 0.09 x $990 = $89.10
Plugging these values into the formula, we get:
Total cost = $990 + $89.10
Total cost = $1079.10
Therefore, the television will cost $1079.10 in the end, including the 9% sales tax.