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1. A loan of $690 is made at 8.6% simple interest for 4 months. How much interest is owed when the loan is due?

   1.   ?    $19.78
   2.   ?    $237.36
   3.   ?    $709.78
   4.   ?    None of the answers given; click to see the solution.

2. A loan of $1900 is made at 10.8% simple interest for 60 days. What is the total amount due at the end of the time period? (Use a 360-day year.)

   1.   ?    $1934.20
   2.   ?    $34.20
   3.   ?    $14212
   4.   ?    None of the answers given; click to see the solution.

3. A check for $6812 was used to pay off a loan which was made at a rate of 9.6% simple interest for 6 months. How much money was borrowed originally?

   1.   ?    $6500
   2.   ?    $6485.02
   3.   ?    $4322.34
   4.   ?    None of the answers given; click to see the solution.

4. A loan of $2800 was paid off at the end of 120 days with a check for $2917.60. What annual rate of interest was used? (Use a 360-day year.)

   1.   ?    12.6%
   2.   ?    3.5%
   3.   ?    4.2%
   4.   ?    None of the answers given; click to see the solution.

5. An advertisement for a loan company states that you only pay 13 cents per day for each $100 borrowed. If you borrow $500 for 50 days, what amount will you repay?

   1.   ?    $532.50
   2.   ?    $32.50
   3.   ?    $500.65
   4.   ?    None of the answers given; click to see the solution.

6. An advertisement for a loan company states that you only pay 13 cents per day for each $100 borrowed. If you borrow $500 for 50 days, what annual rate of interest is the company actually charging? (Use a 360-day year.) Note: This is a continuation of question #5.

   1.   ?    46.8%
   2.   ?    4.68%
   3.   ?    .13%
   4.   ?    None of the answers given; click to see the solution.