New Zealand
Level 6 - NCEA Level 1
Effective Interest Rates
Interactive practice questions
Neil invested $\$3500$$3500 at $4.3%$4.3% p.a. compounded daily.
a
Find the amount of interest earned in a year.
Write your answer to the nearest cent.
b
Find the effective annual interest rate as a percentage.
Round your answer to two decimal places.
Easy
4min
The Bank of Hilo offers 2 investment opportunities to investors:
Option 1: $6.86%$6.86% p.a. simple interest for $10$10 years.
Option 2: $6.76%$6.76% p.a. compound interest for $6$6 years, compounding semiannually.
Easy
7min
Christa's investment of $\$7630$$7630 earned interest at $2.3%$2.3% p.a. compounded semiannually.
Easy
3min
Neil invested $\$2610$$2610 at $2.7%$2.7% p.a. compounded quarterly.
Easy
2min
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