Instead of implementing an application in a single big-bang release, modern systems are delivered in parts continuously and quickly

The percent of sales method does not accurately estimate the balances for lumpy assets. Which of

the following statements best describes the possible errors? A) The percent of sales method consistently overestimates the forecasted balances of lumpy assets. B) If fixed assets are utilized at full capacity currently, the percent of sales method will underestimate the forecasted fixed asset balance. C) If excess capacity exists, the percent of sales method will overestimate asset requirements. D) The percent of sales method consistently underestimates the forecasted balances of lumpy assets.

Casey has $1,000 to invest and would like to buy a $3,000 jet-ski in four years. If interest is compounded annually, what interest rate will she have to receive to reach her goal?

A) 300% B) 16% C) 32% D) 3% E) 7%