1. Two employees join a company at the same salary.  Employee A gets a 
   20% pay raise in her first year and a 10% pay cut a year later.
   Employee B gets a 30% pay raise after her first year and a 20% pay 
   cut a year later.  Who ends up with a bigger salary at the start of 
   the third year?

   A. Employee A
   B. Employee B
   C. They have the same salary
   D. It is impossible to answer without knowing what the starting 
      salary is.

2. Suppose we make a scale model of the population of the world, using
   the students who take Math 141 as our model.  That is, the 170
   students taking Math 141 are to represent the entire world population
   (6.6 billion people).  Under this scale model, about how many Math 141
   students would represent the population of the China (1.3 billion)?

   A. 10
   B. 20
   C. 30
   D. 40

3. A rectangle has length 11.11 inches and width 1.1 inches.
   The perimeter and area of this rectangle, 
   represented with appropriate precision, are

   A. 24 inches and 12 square inches, respectively
   B. 24 inches and 12.2 square inches, respectively
   C. 24.4 inches and 12 square inches, respectively
   D. 24.4 inches and 12.2 square inches, respectively

   (Recall that the perimeter of a rectangle is twice the
   sum of the length and width, while the area of a rectangle
   is the product of the length and width.)

4. Here are some data on the price of beer (per barrel)
   taken from Table 1 of org.elon.edu/ipe/spurry.pdf: 

   1987: $98.38
   1989: $104.05
   1991: $120.95
   1993: $124.27
   1995: $132.06
   1997: $132.84

   The CPI in 1987 was 113.6, and the CPI in 1997 was
   160.5.  If the price of beer had risen in step with  
   inflation from 1987 to 1997, starting from $98.38 in 1987,
   about how much would a barrel of beer have cost in 1997?

   A. $120
   B. $130
   C. $140
   D. $150

5. All athletes participating in a regional soccer
   championship must provide a urine sample for a drug test.
   Urine Good Hands Laboratories, the lab that does the tests,
   has results that are 90% accurate, in the sense that 90%
   of drug-users test positive and 90% of non-drug-users test negative. 
   Assume that 10% of the athletes actually use drugs.  Also assume 
   that all the athletes who test positive get accused of using drugs.
   What percentage of the athletes who test positive are being falsely 
   accused?

   A. 9%
   B. 10%
   C. 50%
   D. 90%

6. Which makes one's money grow faster: an APR of 20% compounded
   twice-yearly, or an APR of 21% compounded annually?

   A. 20% compounded twice-yearly
   B. 21% compounded annually
   C. Both make one's money grow equally quickly
   D. It is impossible to tell based on the information provided

7. On Jan. 31 you open a savings account at a bank that offers monthly 
   compound interest with an APR of 12%.  When you open the account, you 
   deposit $10,000.  On Feb. 28 you deposit another $10,000.  On Mar. 31 
   you deposit another $10,000.  How much money is in the account on Mar. 
   31 (after you make your deposit), rounded to the nearest dollar?

   A. $20,100
   B. $30,300
   C. $30,301
   D. $40,604

8. Moe's Mortgage Bank offers you a $100,000, 30-year loan with
   closing costs of $1000 plus 2 points (remember, each point is 1%
   of the loan amount), with a fixed interest rate of 8%.
   Sam's Savings Bank offers you a $100,000, 30-year loan with 
   closing costs of $2000 plus 1 point, with a fixed interest rate of 7%.  
   Who is offering you the better deal?

   A. Moe's
   B. Sam's
   C. Both are equally good
   D. It is impossible to tell with the information provided