DSQ: Calculating simple interest
Practice Questions
GMAT Quantitative Reasoning › DSQ: Calculating simple interest
Today, I put 
(1) I have 
(2) The annual interest rate is 
John invests 
(1) The ratio of interest earned from the certificates to the interest earned from the bonds is 
(2) The total interest earned 
What amount of money did John invest at 8% simple interest?
(1) The amount of interest earned on this investment in one year is $400.
(2) John's investment is supposed to accumulate to 7,000 after 5 years.
Jake invests $5000 at 10% simple annual interest and another amount of money at 
(1) The total amount of interest earned on all investments at the end of one year is $800.
(2) 
On the same day, Robin and Rick each open a savings account that draws simple interest. Neither withdraws from or deposits into his or her account over the next five years. Throughout the five-year period, whose account accrues more interest?
Statement 1: Both accounts pay the same interest rate.
Statement 2: Robin deposited $400 more than Rick.
On January 2, Grant uses his $5,000 inheritance to open up a savings account that pays simple interest; he does not add to or withdraw from the account. How many years does it take for the account to be worth $6,000?
Statement 1: The account pays 4.5% annually.
Statement 2: The interest rate of his savings account is 2% less than that of his certificate of deposit in the same bank.
Jennifer's grandmother opens up a savings account for her that draws simple interest. No one adds to or withdraws from the account until Jennifer's 18th birthday.
Will there be $10,000 in the account by the time Jennifer turns 18?
Statement 1: Jennifer's grandmother opened the account the day Jennifer turned five years old.
Statement 2: The account pays 4.5% simple interest.
Marshall's grandfather uses $7,000 to open up a savings account for him that draws simple interest. No one adds to or withdraws from the account until Marshall's 21st birthday.
Will there be $10,000 in the account by the time Marshall turns 21?
Statement 1: The account pays 3.8% simple interest.
Statement 2:Marshall's grandfather opened the account the day Marshall turned six years old.
On the same day, Grace and Shannon each open a savings account that draws simple interest. Neither withdraws from or deposits into her account over the next five years. Throughout the five-year period, whose account accrues more interest?
Statement 1: Grace's account pays at a rate of 1% per year more than Shannon's account.
Statement 2: Grace deposited $5,000 in her account.