If a Person Saves $1, 000, How Much Will She

question 86

Multiple Choice

If a person saves $1, 000, how much will she have at the end of three years if the market interest rate is 6 percent?

• A)$1, 060
• B)$1, 135
• C)$1, 156
• D)$1, 191
• E)$1, 600

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Definitions:

Total Sales

The sum of all revenues earned from selling goods or services within a specific period.

Total Costs

The sum of all expenses incurred in the production of goods or services, including both fixed and variable costs.

Break-even Point

The level of sales at which total revenues equal total expenses, resulting in no net profit or loss.

Variable Cost

Expenses that change in proportion with the level of activity or production volume, such as materials costs or sales commissions.