You Have Been Asked to Compute the Amount of a Fund

question 19

Multiple Choice

You have been asked to compute the amount of a fund that will be available at the end of three years as a result of a single sum of $1,000 that is deposited. What is the interest concept that best describes this application?

• A) Present value of a single amount.
• B) Future value of annuity.
• C) Future value of a single amount.
• D) Present value of an annuity.

---

Definitions:

Obsessive-Compulsive Disorder

A mental health disorder characterized by uncontrollable, reoccurring thoughts (obsessions) and behaviors (compulsions).

Schizophrenia

An emotional and cognitive impairment marked by deviation in thoughts, perception of reality, emotional expression, and social conduct.

Posttraumatic Stress Disorder

An emotional well-being issue stemming from living through or seeing a distressing event, identified by replaying memories, terrifying dreams, and extreme nervousness.

Generalized Anxiety Disorder

A mental health disorder characterized by excessive, uncontrollable worry about various aspects of daily life, not limited to one specific event.