If the Current Rate of Interest Is 8% APR,then the Future

question 27

Multiple Choice

If the current rate of interest is 8% APR,then the future value of an investment that pays $500 every two years and lasts 20 years is closest to:

• A)$11,000.
• B)$10,661.
• C)$22,881.
• D)$20,000.

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Definitions:

Chain Hoist

A device used for lifting heavy loads by means of a chain, operated manually or electrically.

Markup Percent

The ratio by which the cost of a product is increased to arrive at its selling price, expressed as a percentage of the cost.

Travel Agent

A professional who arranges travel for individuals or groups, including accommodations, transportation, and itineraries.

Dollar Markup

The difference between the selling price of an item and its cost, expressed in dollar terms.