Twelve Years Ago, Jake Invested $2,000

question 156

Multiple Choice

Twelve years ago, Jake invested $2,000. Six years ago, Tami invested $4,000. Today, both Jake's and Tami's investments are each worth $9,700. Assume that both Jake and Tami continue to earn their respective rates of return. Which one of the following statements is correct concerning these investments?

• A) Three years from today, Jake's investment will be worth more than Tami's.
• B) One year ago, Tami's investment was worth more than Jake's.
• C) Jake has earned a higher rate of return than Tami.
• D) Tami has earned an average annual interest rate of 15.91%.
• E) Jake has earned an average annual interest rate of 15.47%.

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Breaches

Acts of breaking or failing to observe a law, agreement, or code of conduct.

Specify

To clearly identify or describe something in detail.

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Machinery used in the pasteurization process to sterilize food and drink products, such as milk, by heating them to eliminate pathogens.

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