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Quantitative Literacy
Financial Literacy

1
Percent Increase or Decrease, Markup and Discount

Problem  1

Find the selling price for the given wholesale price and markup rate.

a. wholesale price = $52, markup rate = 45%

b. wholesale price = $185, markup rate = 80%

c. wholesale price = $2,050, markup rate = 12.5%

d. wholesale price = $17,600, markup rate = 4.5%

Choose instructor to watch:
Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Mr. Perez
Mr. Perez
Problem  2

Find the wholesale price for the given selling price and markup rate.

a. selling price = $88.40, markup rate = 30%

b. selling price = $225, markup rate = 25%

c. selling price = $1,148, markup rate = 180%

d. selling price = $16,608, markup rate = 3.8%

Choose instructor to watch:
Mrs. Diaz
Mrs. Diaz
Mr. Perez
Mr. Perez
Mr. Fredrickson
Mr. Fredrickson
Problem  3

Find the markup rate for the given wholesale price and selling price.

a. wholesale price = $140, selling price = $210

b. wholesale price = $80, selling price = $108

c. wholesale price = $376, selling price = $752

d. wholesale price = $26,000, selling price = $26,728

Choose instructor to watch:
Mrs. Diaz
Mrs. Diaz
Mr. Perez
Mr. Perez
Mr. Fredrickson
Mr. Fredrickson
Problem  4

Find the sale price for the given selling price and discount rate.

a. selling price = $70, discount rate = 25%

b. selling price = $145, discount rate = 32%

c. selling price = $1,420, discount rate = 8.5%

d. selling price = $120,000, discount rate = 2.15%

Choose instructor to watch:
Mrs. Diaz
Mrs. Diaz
Mr. Perez
Mr. Perez
Mr. Fredrickson
Mr. Fredrickson
Problem  5

Find the selling price for the given sale price and discount rate.

a. sale price = $108, discount rate = 28%

b. sale price = $65, discount rate = 50%

c. sale price = $1,110, discount rate = 7.5%

d. sale price = $24,175, discount rate = 3.3%

Choose instructor to watch:
Mrs. Diaz
Mrs. Diaz
Mr. Perez
Mr. Perez
Mr. Fredrickson
Mr. Fredrickson
Problem  6

Find the discount rate for the given selling price and sale price.

a. selling price = $100, sale price = $67.50

b. selling price = $180, sale price = $154.80

c. selling price = $1,600, sale price = $1,192

d. selling price = $60,000, sale price = $56,100

Choose instructor to watch:
Mrs. Diaz
Mrs. Diaz
Mr. Perez
Mr. Perez
Mr. Fredrickson
Mr. Fredrickson
Problem  7

In the year 2000, the average computer system decreased 20% in price from the previous year. If the average computer system price in the year 2000 was $1280, what was the average price in the previous year?

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Mrs. Diaz
Mrs. Diaz
Mr. Perez
Mr. Perez
Mr. Fredrickson
Mr. Fredrickson
Problem  8

The number of flights out of a small airport increased from 1200 flights to 1500 flights during a one-year period. What is the percent increase in flights from this airport?

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Mrs. Diaz
Mrs. Diaz
Mr. Perez
Mr. Perez
Mr. Fredrickson
Mr. Fredrickson

2
Simple Interest

Problem  1

Find the simple interest earned, and corresponding balance, on thefollowing bank deposits.

a.principal=$8,000, rate=6.2%, time=1.5 years

b.principal=$10,000, rate=5.75%, time=6 months

c.principal=$25,000, rate=7.5%, time=12 years

d.principal=$7,500, rate=5.4%, time=3 months

e.principal=$1,200, rate=19.8%, time=100 days 

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Problem  2

In each of the following simple interest problems, three of the four quantities are given. Find the missing quantity. Round all answers to two decimal places.

a. interest = $745, principal = $550, time = 12.3 years

b. interest = $1250, principal = $600, rate = 11.3%

c. interest = $869, rate = 6.3%, time = 8 months

d. interest = $65,000, rate = 7.2%, time = 1 year

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Problem  3

Calculate the amount owed and the monthly payment for the following simple interest loans.

a. principal = $4,200, rate = 12.5%, time = 2 years

b. principal = $7,500, rate = 10%, time = 9 months

c. principal = $10,000, rate = 14.8%, time = 6 years

d. principal = $25,000, rate = 9.9%, time = 5 1/2 years

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Mrs. Diaz
Mrs. Diaz
Problem  4

You borrow $24,000 for a car loan, which charges an 11.9% simple interest rate. Compare the total amount owed and monthly payment for a 4 year loan and for a 6 year loan.

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Problem  5

You borrow $15,000 from your parents to make a down payment on a house, and agree to a 8.5% simple interest loan. You can only afford to make payments of $300 per month, however. What term (length of time) should your loan be?

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson

3
Compound Interest

Problem  1

Compute the balance and interest earned for each of the accounts, compounded annually.

a.  principal = $12,500, rate = 6.5%, time = 5years

b.  principal = $5,000, rate = 10.4%, time = 20years

c.  principal = $1,250, rate = 7.45%, time = 10years

d.  principal = $25,000, rate = 8.6%, time = 15years

 

Choose instructor to watch:
Mr. Perez
Mr. Perez
Mrs. Diaz
Mrs. Diaz
Problem  2

Compute the balance and interest earned for each of the given accounts.

a.  principal = $4,000, rate = 6.8%, time = 6 years, compounded monthly

b.  principal = $10,000, rate = 11.5%, time = 10 years, compounded quarterly

c.  principal = $22,400, rate = 8.3%, time = 4 years, compounded daily

d.  principal = $15,000, rate = 9.8%, time = 8 years, compounded semiannually

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Mr. Perez
Mr. Perez
Mrs. Diaz
Mrs. Diaz
Problem  3

Calculate the future price of the item with the given inflation/deflation rate.

a.  gasoline: price = $3.65/gallon, rate = 6.8%, time = 25 years

b.  college tuition: price = $1300/semester, rate = 13.5%, time = 15 years

c.  stock price: price = $74/share, rate = 21.3%, time = 5 years

d.  computer: price = $1350, rate = −8.6%, time = 12 years

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Mr. Perez
Mr. Perez
Mrs. Diaz
Mrs. Diaz
Problem  4

Find the present value of the following future amounts.

a.  treasury bill: value = $15,000, rate = 5.6%, time = 4 years, compounded daily

b.  zero-coupon bond: value = $20,000, rate = 6.1%, time = 10 years, compounded monthly

c.  retirement plan: value = $800,000, rate = 8.4%, time = 30 years, compounded quarterly

d.  timber land: value = $12.8 million, rate = 4.6%, time = 45 years, compounded yearly

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Mr. Perez
Mr. Perez
Mrs. Diaz
Mrs. Diaz

4
Annuities

No examples are currently assigned to this topic.

5
Amortization Loans

No examples are currently assigned to this topic.

6
Taxes

Problem  1

Emily earns a monthly salary of $7,500. In her country, the income tax system is progressive, with the following tax brackets:

0% tax on income up to $2,000

10% tax on income between $2,001 and $5,000

20% tax on income between $5,001 and $10,000

30% tax on income above $10,000

Calculate the amount of income tax Emily will owe for the month.

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Problem  2

Mae lives in Estonia, a country in Northern Europe, where individuals and businesses are subject to a flat income tax rate of 20%. How much would Mae owe in income tax if her monthly salary = $3,000?

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Problem  3

Jax earns $25,000 in a year, what % will he pay in taxes with the follwing marginal tax rate?

Income up to $10,000 is taxed at a rate of 10%.

Income between $10,001 and $20,000 is taxed at a rate of 15%.

Income above $20,000 is taxed at a rate of 20%.

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Problem  4

Graham works for a company in the United States. In the U.S., payroll taxes typically include taxes for Social Security and Medicare. How much is taken out of Graham's paycheck in payroll taxes if he earns a biweekly salary of $2,000 and the Social Security tax rate is 6% and the Medicare tax is 1.5% of his gross income? 

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Problem  5

Brooke, who is not married, just graduated from American University and she has two job offers. Both jobs pay $60,000 per year, but one job is in Boston, Massachusetts, and the other is in Monroe County, Florida. Using the tax rates in the following tables, which job will Brooke bring home the most money? 

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Problem  6

Brock goes to a store to buy a new phone. The phone's price tag is $500, and the sales tax rate in Brock's state is 8%. What is the total price of the phone?

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson
Problem  7

In Norway, the gasoline tax is around $2 per gallon. The Norwegian government taxes gasoline to discourage excessive fuel consumption, promote energy efficiency, reduce carbon emissions, and fund various government programs. 

In 2024 the average price per gallon in Norway is $7 per gallon, what percentage of the total price per gallon is tax? 

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Mrs. Diaz
Mrs. Diaz
Mr. Fredrickson
Mr. Fredrickson