PRINTABLE VERSION Practice Test 3 Question 1 A problem is listed below. Identify its type. Craig bought a new boat. He made a 17% down payment. He financed the rest through his bank for 6 years. His bank charged 4% per year compounded monthly and his monthly payments were $350. What was the original price of the boat? a) Future Value of an Annuity b) Present Value c) Sinking Fund d) Present Value of an Annuity e) Amortization f) None of the above. Question 2 How much should new parents invest now at 7% per year compounded quarterly to have $30,000.00 towards their child's college education in 13 years? a) $12,168.15 b) $12,167.15 c) $12,170.15 d) $12,173.15 e) $12,171.15 f) None of the above. Question 3 John got a part time weekend job at a local restaurant to save for a new car. He plans on depositing $140 per month for the next 4 years in a savings account with a rate of 8% per year compounded monthly. How much will he have saved toward his down payment at the end of the 4 year period? a) $7,878.99 b) $7,888.99 c) $7,848.99 d) $7,868.99 e) $7,918.99 f) None of the above. Question 4 A problem is listed below. Identify its type. After graduation in 2 years, Antwone would like to take a much needed vacation to the Caribbean Islands. He anticipates that the all inclusive vacation package will cost him $3,800. His bank will pay 3% per year compounded semiannually. How much does he need to deposit into this account each semiannual period, so that he can take his vacation in 2 years? a) Present Value with compound interest b) Sinking Fund c) Present Value of an Annuity d) Amortization e) Future Value with compound interest f) None of the above. Question 5 Esther pays $532 per month for 5 years for a car. She made a down payment of $4,500. If the loan costs 7.1% per year compounded monthly, what was the cash price of the car? a) $42,686.17 b) $31,303.15 c) $22,303.15 d) $33,686.17 e) $26,803.15 f) None of the above. Question 6 Given the following sets U = {9,18,23,33,42,47,52,54,58,67} A = {23,42,47,54,58,67} B = {9,33,52,54} C = {18,23,33,54} Determine the set Ac a) {9,18,23,52,54} b) {9,23,33,52,54} c) {9,18,33,47,54} d) {9,18,33,52,54} (B C). e) f) None of the above. Question 7 Given the following Venn diagram, where A and B are each represented by an oval: Which regions make up ( A Bc )c? a) I, II and III b) I, III and IV c) d) II e) III and IV f) None of the above. Question 8 Given the following Venn diagram Find n[ A ( B C )c ]. a) 87 b) 91 c) 94 d) 88 e) 90 f) None of the above. Question 9 A survey of 393 children given at a local elementary school showed that 175 like chocolate ice cream 200 like pistachio ice cream, and 93 do not like chocolate or pistachio ice cream. How many children like both chocolate ice cream and pistachio ice cream? a) 100 b) 75 c) 375 d) 225 e) 300 f) None of the above. Question 10 A survey of 500 high school students was taken to determine their favorite chocolate candy. Of the 500 students surveyed, 133 like Snickers, 172 like Twix, 178 like Reese's Peanut Butter Cups, 44 like Snickers and Twix, 107 like Twix and Reese's Peanut Butter Cups, 82 like Snickers and Reese's Peanut Butter Cups, and 38 like all three kinds of chocolate candy. How many students like Reese's Peanut Butter Cups or Snickers, but not Twix? a) 89 b) 72 c) 116 d) 154 e) 191 f) None of the above. Question 11 A particular new car model is available with 5 choices of color, 2 choices of transmission, 2 types of interior and 6 types of engine. How many different variations of this model car are possible? a) 122 b) 120 c) 124 d) 15 e) 16 f) None of the above. Question 12 How many permutations can be formed from the letters of the word TENNESSEE ? a) 20,160 b) 4,225 c) 3,780 d) 6,575 e) 40,320 f) None of the above. Question 13 A manager receives 8 applications for a specific position. She wants to narrow it down to 4. In how many ways can she rank 4 applications? a) 70 b) 32 c) 40,320 d) 4 e) 1,680 f) None of the above. Question 14 A department store chain is expanding into a new market, and is considering 16 different sites on which to locate 4 stores. Assuming that each site is equally likely to be chosen, in how many ways can the sites for the new stores be selected? a) 64 b) 80 c) 20 d) 1,820 e) 43,680 f) None of the above. Question 15 In how many ways can a Math team of 12 students be chosen from a Math Club which consists of 12 seniors and 14 juniors if the team must consist of 10 seniors and 2 juniors? a) 239,500,800 b) 6,006 c) 168 d) 8,281 e) 4,356 f) None of the above. Question 16 A basket contains 7 apples, of which two are rotten. A sample of three apples is selected at random. In how many ways can two rotten apples be chosen? a) 5 b) 10 c) 25 d) 20 e) 3 f) None of the above. Question 17 A business organization needs to make up a 6 member fund-raising committee. The organization has 9 accounting majors and 7 finance majors. In how many ways can the fund-raising committee be formed if at most 1 accounting major is on the committee? a) 9 b) 7 c) 16 d) 196 e) 189 f) None of the above. Question 18 Given P(A) = .37, P(B) = .43 and P(A Bc) = .17. Find P(A B). a) 0.26 b) 0.97 c) 0.18 d) 0.37 e) 0.20 f) None of the above. Question 19 Suppose P(E) = 0.43, P(Fc) = 0.36, and P(F Ec) = 0.40. Find P(E a) b) c) d) e) f) None of the above. Question 20 F). A campus radio station surveyed 500 students to determine the types of music they like. The survey revealed that 206 like rock, 161 like country, and 118 like jazz. Moreover, 30 like rock and country, 27 like rock and jazz, 22 like country and jazz, and 11 like all three types of music. What is the probability that a radomly selected student likes jazz or country but not rock? Note: A Venn diagram may be useful here. a) 0.400 b) 0.300 c) 0.522 d) 0.262 e) 0.422 f) None of the above. Question 21 A hand of 11 cards is dealt from a well-shuffled standard 52-card deck of cards. What is the probability that the hand contains 2 Jacks? a) 0.186590 b) 0.216590 c) 0.176590 d) 0.196590 e) 0.166590 f) None of the above. Question 22 A classroom of children has 11 boys and 18 girls in which five students are chosen to do presentations. What is the probability that at least four boys are chosen? a) 0.212581 b) 0.262599 c) 0.050019 d) 0.053909 e) 0.003890 f) None of the above. Question 23 A fair coin is tossed 21 times. What is the probability that at most 18 heads occur? a) 0.00063419 b) 0.01074482 c) 0.99988937 d) 0.99925518 e) 0.00011063 f) None of the above. Question 24 An urn contains 19 white balls and 7 green balls. A sample of seven is selected at random. What is the probability that the sample contains at least one green ball? a) 0.923399 b) 0.000011 c) 0.288726 d) 0.999989 e) 0.711274 f) None of the above. Question 25 A classroom of children has 14 boys and 18 girls in which five students are chosen to do presentations. What is the probability that more boys than girls are chosen? a) 0.0895 b) 0.3660 c) 0.0099 d) 0.3760 e) 0.2865 f) None of the above. PRINTABLE VERSION Practice Test 3 Question 1 A problem is listed below. Identify its type. Tammy wishes to purchase a new laptop in 3 years. She makes quarterly deposits of $250 into an account that pays 6% per year compounded quarterly for 3 years. How much will she have towards the purchase of a new laptop in 3 years? a) Sinking Fund b) Future Value with compound interest c) Present Value of an Annuity d) Future Value of an Annuity e) Amortization f) None of the above. Question 2 Congratulations! You were the 10th caller on the KMTH morning show and you just won $3,000.00. After you calm down, you decide to put the money into a bank account so that you will have even more money for a trip to Europe. Snurling Bank tells you that they will pay 9% per year compounded monthly. How much money will you have for your trip in 5 years? a) $4,701.04 b) $4,693.04 c) $4,694.04 d) $4,699.04 e) $4,697.04 f) None of the above. Question 3 John got a part time weekend job at a local restaurant to save for a new car. He plans on depositing $200 per month for the next 2 years in a savings account with a rate of 5% per year compounded monthly. How much will he have saved toward his down payment at the end of the 2 year period? a) $4,997.18 b) $5,077.18 c) $5,007.18 d) $5,027.18 e) $5,037.18 f) None of the above. Question 4 A problem is listed below. Identify its type. Beginning in 2 years, a new Booster Club at a certain high school would like to award an outstanding senior on the varsity soccer team with a check of $1,500 towards the student's college tuition. Since there is a boy and girl team, they wish to award one senior boy and one senior girl the same amount of money. Thus, the club will need $3,000 at the end of 2 years. How much must the booster club invest each semiannual period in an account that pays 6% per year compounded semiannually to have the desired funds in 2 years? a) Future Value of an Annuity b) Future Value with compound interest c) Amortization d) Present Value of an Annuity e) Sinking Fund f) None of the above. Question 5 The manager of a manufacturing company knows that they will need a new machine in one of their factories. The new machine will cost them $12,500. The manager has determined that they can afford to pay 15% of the cost of the machine in cash. They can then finance the rest through a credit union. The credit union will charge 2% per year compounded monthly. How much are their monthly payments for 3 years? a) $286.62 b) $337.20 c) $433.32 d) $358.03 e) $304.33 f) None of the above. Question 6 Given the following sets U = {6,10,11,18,28,33,34,38,48,55} A = {11,28,33,38,48,55} B = {6,18,34,38} C = {10,11,18,38} Determine the set Ac (B C). a) b) {6,11,18,34,38} c) {6,10,11,34,38} d) {6,10,18,33,38} e) {6,10,18,34,38} f) None of the above. Question 7 Given the following Venn diagram, where A and B are each represented by an oval: Which regions make up ( A B )c? a) III and IV b) I, II and IV c) I, II and III d) II e) f) None of the above. Question 8 Given the following Venn diagram Find n[ ( C c a) 95 b) 34 c) 80 d) 39 e) 89 B c)c ]. f) None of the above. Question 9 A survey of 394 children given at a local elementary school showed that 150 like chocolate ice cream 175 like pistachio ice cream, and 169 do not like chocolate or pistachio ice cream. How many children like at least one kind of ice cream mentioned in the survey? a) 75 b) 50 c) 325 d) 125 e) 225 f) None of the above. Question 10 (Car Sales) Of the cars sold during the month of July, 85 had air conditioning, 102 had automatic transmission, and 71 had power steering. 6 cars had all three of these extras. 22 cars had none of these extras. 22 cars had only air conditioning, 65 cars had only automatic transmissions, and 31 cars had only power steering. 10 cars had both automatic transmission and power steering. How many cars had air conditioning and automatic transmission but not power steering? a) 30 b) 27 c) 6 d) 4 e) 33 f) None of the above. Question 11 A license plate consists of 2 letters followed by 2 digits. How many license plates are possible if the 1st letter cannot be I nor O, the 1st digit cannot be 0, and no letters or digits may repeat? a) 67,600 b) 48,000 c) 48,600 d) 56,160 e) 43,200 f) None of the above. Question 12 How many permutations can be formed from the letters of the word TENNESSEE ? a) 20,160 b) 4,225 c) 3,780 d) 6,575 e) 40,320 f) None of the above. Question 13 How many ways can 3 students be assigned a seat in a classroom if there are 5 seats in a row? a) 10 b) 60 c) 15 d) 8 e) 120 f) None of the above. Question 14 A coin is tossed 16 times. In how many outcomes do exactly 7 heads occur? a) 7 b) 57,657,600 c) 11,440 d) 5,040 e) 112 f) None of the above. Question 15 An urn contains 4 blue balls and 5 orange balls. In how many ways can we select 2 blue balls and 2 orange balls from the urn? a) 20 b) 18 c) 239 d) 60 e) 32 f) None of the above. Question 16 An urn contains 20 red marbles and 15 blue marbles. 12 marbles are chosen. In how many ways can 6 red marbles be chosen? a) 193,993,800 b) 38,760 c) 43,765 d) 120 e) 924 f) None of the above. Question 17 A business organization needs to make up a 6 member fund-raising committee. The organization has 10 accounting majors and 7 finance majors. In how many ways can the fund-raising committee be formed if at most 1 accounting major is on the committee? a) 210 b) 217 c) 7 d) 17 e) 10 f) None of the above. Question 18 Given P(A) = .42, P(B) = .36 and P(A Bc) = .17. Find P(A B). a) 0.25 b) 0.28 c) 0.95 d) 0.27 e) 0.42 f) None of the above. Question 19 Given P(A) = 31/100, P(B) = 17/25, and P(A a) 0.30 b) 0.26 c) 0.28 d) 0.23 Bc) = 37/100. Find P(A Bc). e) 0.00 f) None of the above. Question 20 A campus radio station surveyed 500 students to determine the types of music they like. The survey revealed that 207 like rock, 163 like country, and 119 like jazz. Moreover, 31 like rock and country, 27 like rock and jazz, 23 like country and jazz, and 11 like all three types of music. What is the probability that a radomly selected student likes jazz or country but not rock? Note: A Venn diagram may be useful here. a) 0.262 b) 0.302 c) 0.424 d) 0.400 e) 0.526 f) None of the above. Question 21 A hand of 15 cards is dealt from a well-shuffled standard 52-card deck of cards. What is the probability that the hand contains 2 Jacks? a) 0.268306 b) 0.258306 c) 0.288306 d) 0.278306 e) 0.308306 f) None of the above. Question 22 A classroom of children has 17 boys and 19 girls in which five students are chosen to do presentations. What is the probability that at least four boys are chosen? a) 0.308442 b) 0.136364 c) 0.119949 d) 0.428391 e) 0.016414 f) None of the above. Question 23 A fair coin is tossed 29 times. What is the probability that at most 26 heads occur? a) 0.00000681 b) 0.99999238 c) 0.00000081 d) 0.99999919 e) 0.01000762 f) None of the above. Question 24 An urn contains 17 white balls and 9 green balls. A sample of seven is selected at random. What is the probability that the sample contains at least one green ball? a) 0.169328 b) 0.830672 c) 0.970435 d) 0.000014 e) 0.999986 f) None of the above. Question 25 A classroom of children has 14 boys and 18 girls in which five students are chosen to do presentations. What is the probability that more boys than girls are chosen? a) 0.0895 b) 0.3660 c) 0.0099 d) 0.3760 e) 0.2865 f) None of the above