Simple Interest – Year 1 – $100 at 10% interest  = $10 in interest earned.   “

Continue readingSimple Interest – Year 1 – $100 at 10% interest  = $10 in interest earned.   “

Explain the difference between simple and compound interest rates.

Continue readingExplain the difference between simple and compound interest rates.

A bank offers 3% interest on savings accounts

the bank makes a profit on the 6% difference in interest rates.Continue readingA bank offers 3% interest on savings accounts

Financial institutions attempt to earn a profit

people should shop around for the best interest rates on credit cards and loans.Continue readingFinancial institutions attempt to earn a profit

Compare interest rates on loans and credit cards from different institutions

Continue readingCompare interest rates on loans and credit cards from different institutions

Are you suitable to receive credit?  A person must show the ability and willingness to carry the cost of borrowing and be able to pay back the loan to the lender.

Continue readingAre you suitable to receive credit?  A person must show the ability and willingness to carry the cost of borrowing and be able to pay back the loan to the lender.

List factors that affect credit worthiness

Continue readingList factors that affect credit worthiness

Evaluate the costs and benefits of using credit

Continue readingEvaluate the costs and benefits of using credit

Sales Tax – a regressive tax that requires lower-income groups to pay a higher percentage of their income than higher income groups.

Continue readingSales Tax – a regressive tax that requires lower-income groups to pay a higher percentage of their income than higher income groups.

cur? (Points : 1) GDP will rise. GDP will fall. Wages will rise. Inventories will fall. 89. The sale of Treasury securities by the Federal Reserve will

(Points : 1) not change the money supply. not change the quantity of reserves held by banks. increase the quantity of reserves held by banks. decrease the quantity of reserves held by banks. 90. Suppose a bank has $100 million in checking account deposits with no excess reserves and the required reserve ratio is 20 percent. If the Federal Reserve reduces the required reserve ratio to 15 percentContinue readingcur? (Points : 1) GDP will rise. GDP will fall. Wages will rise. Inventories will fall. 89. The sale of Treasury securities by the Federal Reserve will