Emma, 23, just graduated from college in Child, Youth and Family Studies and has been working in outreach for the past 12 months. She doesn't make a lot of money at her job, but she learned in her financial management class that she should do what she can to save and invest her money for her future financial goals. Currently, in her budget, she has been able to save $50.00 each month and at the end of her first year of working, she has accumulated $600.00. She has decided to invest her $600.00 in a Certificate of Deposit that will pay annual interest rate of 3% if she leaves the money on deposit (in the account) for 4 years. Use the information provided above to fill in the Future Value (FV) formula: FV = PV*(i+1.0)n
Answer:
PV (Present Value) - $600.00
i (Interest Rate) - .03
n (years) - 4
Economics
You might also like to view...
If the population growth rate is 2%, the incremental capital output ratio is 3, the saving ratio is 24%, and the depreciation rate is 5%, the rate of growth of income is
(a) 1%. (b) 2%. (c) 3%. (d) 5%. (e) 8%.
Economics
Based on the answer above, the price for laptops _____________ and the quantity supplied for laptops ____________
a. Increase; increase b. Increase; decrease c. Decrease; increase d. Decrease, decrease
Economics