| Code |
Description |
| MA.912.FL.3.1: | Compare simple, compound and continuously compounded interest over time.Clarifications:
Clarification 1: Instruction includes taking into consideration the annual percentage rate (APR) when comparing simple and compound interest. |
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| MA.912.FL.3.2: | Solve real-world problems involving simple, compound and continuously compounded interest.Clarifications:
Clarification 1: Within the Algebra 1 course, interest is limited to simple and compound. |
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| MA.912.FL.3.3: | Solve real-world problems involving present value and future value of money |
| MA.912.FL.3.4: | Explain the relationship between simple interest and linear growth. Explain the relationship between compound interest and exponential growth and the relationship between continuously compounded interest and exponential growth.Clarifications:
Clarification 1: Within the Algebra 1 course, exponential growth is limited to compound interest. |
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| MA.912.FL.3.5: | Compare the advantages and disadvantages of using cash versus personal financing options.Clarifications:
Clarification 1: Instruction includes advantages and disadvantages for a business and for an individual.Clarification 2: Personal financing options include debit cards, credit cards, installment plans and loans.
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| MA.912.FL.3.6: | Calculate the finance charges and total amount due on a bill using various forms of credit using estimation, spreadsheets and other technology.Clarifications:
Clarification 1: Instruction includes how annual percentage rate (APR) and periodic rate are calculated per month and the connection between the two percentages. |
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| MA.912.FL.3.7: | Compare the advantages and disadvantages of different types of student loans by manipulating a variety of variables and calculating the total cost using spreadsheets and other technology.Clarifications:
Clarification 1: Instruction includes students researching the latest information on different student loan options.Clarification 2: Instruction includes comparing subsidized (Stafford), unsubsidized, direct unsubsidized and PLUS loans. Clarification 3: Instruction includes considering different repayment plans, including deferred payments and forbearance. Clarification 4: Instruction includes how interest on student loans may affect one’s income taxes.
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| MA.912.FL.3.8: | Calculate using spreadsheets and other technology the total cost of purchasing consumer durables over time given different monthly payments, down payments, financing options and fees. |
| MA.912.FL.3.9: | Compare the advantages and disadvantages of different types of mortgage loans by manipulating a variety of variables and calculating fees and total cost using spreadsheets and other technology.Clarifications:
Clarification 1: Instruction includes understanding various considerations that qualify a buyer for a loan, such as Debt-to-Income ratio. Clarification 2: Fees include discount prices, origination fee, maximum brokerage fee on a net or gross loan, documentary stamps and prorated expenses. Clarification 3: Instruction includes a cost comparison between a higher interest rate and fewer mortgage points versus a lower interest rate and more mortgage points. Clarification 4: Instruction includes a cost comparison between the length of the mortgage loan, such as 30-year versus 15-year.
Clarification 5: Instruction includes adjustable rate loans, tax implications and equity for mortgages.
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| MA.912.FL.3.10: | Analyze credit scores qualitatively. Explain how short-term and long-term purchases, including deferred payments, may increase or decrease credit scores. Explain how credit scores influence buying power.Clarifications:
Clarification 1: Instruction includes how each of the following categories affects a credit score: past payment history, amount of debt, public records information, length of credit history and the number of recent credit inquiries.Clarification 2: Instruction includes how a credit score affects qualification and interest rate for a home mortgage.
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| MA.912.FL.3.11: | Given a real-world scenario, establish a plan to pay off debt.Clarifications:
Clarification 1: Instruction includes the comparison of different plans to pay off the debt. Clarification 2: Instruction includes pay off plans for a business and for an individual.
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| MA.912.FL.3.12: | Given fixed costs, per item costs and selling price, determine the break-even point for sales volume. |
This cluster includes the following access points.
| Access Point Number |
Access Point Title |
| MA.912.FL.3.AP.1: | Compare simple and compound interest over time. |
| MA.912.FL.3.AP.2: | Solve real-world problems involving simple and compound interest. |
| MA.912.FL.3.AP.4: | Identify the relationship between simple interest and linear growth. Identify the relationship between compound interest and exponential growth. |
| MA.912.FL.3.AP.5: | Select the advantages and disadvantages of using cash versus credit. |
| MA.912.FL.3.AP.6: | Given a bill statement, identify the finance charge, interest rate and total amount due. |
| MA.912.FL.3.AP.7: | Given two different student loan options, compare the advantages and disadvantages of each loan’s interest rate, monthly payment and total cost. |
| MA.912.FL.3.AP.8: | Given the total cost of an item purchased using two different payment plans, calculate the total cost difference of the item between payment plans. |
| MA.912.FL.3.AP.9: | Given two different mortgage loans, one 15-year and one 30-year, compare the advantages and disadvantages of each loan’s interest rate, monthly payment and total cost. |
| MA.912.FL.3.AP.10: | Identify how short-term and long-term purchases, past payment history, and amount of debt may increase or decrease credit scores. |
| MA.912.FL.3.AP.11: | Given several payment plans, with the monthly payment calculated, select the plan that will reduce the debt the quickest. |
Vetted resources educators can use to teach the concepts and skills in this topic.
