Kevin Nathan Will Deposit $1, 000 into a Special Account

question 43

Multiple Choice

Kevin Nathan will deposit $1, 000 into a special account each year beginning December 31, 2010, with the last deposit being made on December 31, 2014.Kevin wants to know how much will be in his account on December 31, 2014, immediately after the final deposit, if the account earns 12% compounded annually.To solve the problem, Kevin must find the

• A)future value of a single sum
• B)future value of a deferred annuity
• C)future value of an ordinary annuity
• D)future value of an annuity due

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Definitions:

Hypertrophy

An increase in the size of muscles or tissues, often as a result of exercise.

Atrophy

The reduction in size and function of a tissue or organ due to aging, disease, or lack of use.

Blood Flow

The continuous circulation of blood through the heart and vascular system, delivering nutrients and oxygen to tissues.

Neurotransmitter

Chemical substances released by neurons that transmit signals across a synaptic gap to another neuron or to a muscle or gland cell.