Flip and pair: which interest does this?

Exercise and reference answers

Matching pairs

1. A

   Base is the original principal

   B

   simple interest

2. A

   Base is last year's amount

   B

   compound interest

3. A

   Same every year

   B

   simple interest

4. A

   Grows every year

   B

   compound interest

5. A

   A = P + I

   B

   the next year's base

Explanation