13-3: TEKS Practice

  • 1. Joshua is using an online loan calculator to find the fixed payment needed to pay off a $29,000 loan with 8% annual interest in 6 years. Complete the table with the appropriate information.

  • 2. A $5,800 credit card loan with 15.5% interest can be paid off in 3 years with monthly payments of $202.48.

    • a. What is the total amount repaid?

    • b. What is the cost of credit?

  • 3. The table shows the minimum monthly payments needed to pay off a $2,800 credit card loan with 16.5% annual interest over different lengths of time. How does paying off a credit card loan in 4 years instead of 2 years change the cost of credit?

  • 4. Is the loan described a credit card loan or an easy access loan?

  • 5. Julia's family needs an easy-access loan for $630 to fix their bathroom. The loan has a 436% annual interest rate. The interest period is two weeks. What is the cost of credit if Julia's family pays the loan off over eight weeks? Round to the nearest cent.

  • 6. Aiden's family needs a $600 easy-access loan to fix their bathtub. They can repay the loan in eight weeks. Which of these loans results in a lower cost of credit? How much lower is the cost of credit? Select the correct choice below and, if necessary, replace the box to complete your choice.

    • A. The loan that charges 13.7% interest every two weeks costs $▪ more than the loan that charges 6.6% interest each week.

    • B. The loan that charges 13.7% interest every two weeks costs $▪ less than the loan that charges 6.6% interest each week.

    • C. The loan that charges 13.7% interest every two weeks costs the same as the loan that charges 6.6% interest each week.

  • 7. Reasoning A $7,300 credit card loan with 13.75% annual interest is paid off in 6 years with monthly payments of $149.45.

    • a. What is the cost of credit for the loan?

    • b. How would the cost of credit for the loan change if the loan term were increased to 7 years? Explain how you can answer this without doing any calculations.


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Table of Contents

Digits, Grade 8, Volume 2, Homework Helper Unit D: Two-Dimensional Shapes Unit E: Measurement and Data Unit F: Personal Financial Literacy Unit G: Step-Up Lessons English/Spanish Glossary Formulas Math Symbols Formulas Measures Properties