1. You get a 10%, 180-day, $2,000.00 loan. Calculate interest only, assuming the lender uses a 365-day year.

2. You get a $3,000.00 loan at 9% interest for 120 days. The lender uses a 365-day year. How much will you owe on the maturity date?

3. You get a $5,000.00, 180-day, 11% consumer loan on May 18, 2012. You make a $2,000.00 payment on July 18, 2012. Calculate the balance you still owe after the payment.

step 1. Calculate the number of days

step 2. calculate the interest portion of the payment

step 3. calculate the principal portion of the payment

step 4. calculate the new balance (amount still owed)

4. About two months ago, you got a $2,000.00, 180-day, 13% consumer loan. Today you made a $1,000.00 payment, resulting ina balance of $1,042.74. Thirty-eight days later, you pay the loan in full. Calculate the total amount of the payoff payment.

Step 1 - Determine the principal amount of the payment -

Step 2 - Calculate the amount of interest portion of the payment -

Step 3 - Calculate the total payment -

5. You open a checking account. You are paid 3% interest on the average daily balance, but are charged a $4.00 monthly charge. Assuming that interest is paid monthly regardless of the number of days in the month, calculate the average balance you must maintain to offset the $4.00 monthly charge.

6. You borrow $350.00 from your aunt and agree to repay her $400.00 ($350.00 principal and $50.00 interest) in 18 months. What interest rate using simple interest, and to the nearest tenth of a percent, are you paying?

7. You get a 180-day, $3,000.00 consumer loan at 9% interest. You are required to pay a $100.00 setup fee at the time you get the loan and it is included in the loan amount. Based on a 365-day year, calculate the real APR. Express the rate to the nearest tenth of a percent.

Step 1 - Calculate Interest

Step 2 - Calculate the Finance Charge

Step 3 - Calculate the real Rate

8. A lender makes a $4000.00, 90-day consumer loan. Interest of 10% is charged using a 360-day year. What is the real APR based on a 365-day year. Express the rate to the nearest tenth of a percent.

Step 1 - Calculate the interest paid

Step 2 - Calculate the real APR

9. You get a payday loan. The lender charges $9.00 per week for each $100.00 you borrow. Assuming you borrow $300.00 for 2 weeks, what real APR will you be paying to the nearest whole percent?