The Difference in Price Between What Jefferson Had Authorized His

question 22

Multiple Choice

The difference in price between what Jefferson had authorized his negotiators to pay for New Orleans and West Florida and what they actually paid for all of Louisiana was

• A) negligible.
• B) $150 million.
• C) $25 million.
• D) $100 million.
• E) $5 million

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Definitions:

Future Value

The predicted amount of money that a current investment will grow to at a certain future date, based on an assumed rate of growth or interest rate.

Interest

Interest is the charge for the privilege of borrowing money, typically expressed as an annual percentage rate.

Rule of 70

A formula to estimate the number of years required to double the value of something at a constant growth rate, calculated as 70 divided by the growth rate.

Interest

The cost incurred for the benefit of borrowing funds, usually presented as a yearly percentage rate.