Nancy Powell's Web Pages
for Students, Parents, and Teachers!

Questions 1-10 are worth 1 point each

1.  If you earn 12% APR compounded monthly, what is your rate of  interest earned     

each month?       

1. __________________

2.  If you are earning 12% interest each year (APR) and it’s compounded monthly, what

is your percent of yield per year?  (annual yield = one year’s worth of interest on only

the principal divided by the original principal – without any additional deposits)          

2. Annual Yield =________%

3.  When is your birthday (month and year)?

3. __________________

4.  a) When will you be 18 (month and year)?           

     b) How much will you be making a deposit for on the first of the month when you turn 18?                                   

4a)__________________

4b)__________________

5.  a)  When will you be 21 (month and year)?

     b)  How much will you be making a deposit for on the first of the month when you turn 21?           

5a)__________________

5b)__________________

6.  a)  When will you be 25 (month and year)?

     b)  How much will you be making a deposit for on the first of the month when you turn 25?

6a)__________________

6b)__________________

7.  Is it possible to become a Millionaire without winning the lottery or going on the game show?

7.          YES      NO

If your answer to #7 is yes, then answer questions 8 – 10.           

8.  If it is possible to become a millionaire, when will it happen?

8. _____________ (DATE)

9.  How old will you be when you become a millionaire?

9. ______ years _____ months

10. If you put your money into a bank account that compounds your money daily (instead of quarterly) will you become a millionaire faster or slower?    

10.        Faster      Slower