A Recent Advertisement in the Financial Section of a Magazine

question 109

Multiple Choice

A recent advertisement in the financial section of a magazine carried the following claim: "Invest your money with us at 14 percent,compounded annually,and we guarantee to double your money sooner than you imagine." Ignoring taxes,how long would it take to double your money at a simple rate of 14 percent,compounded annually?

• A) Approximately 3.5 years
• B) Approximately 5 years
• C) Exactly 7 years
• D) Approximately 10 years
• E) Exactly 14 years

---

Definitions:

High-rise Public Housing

Residential buildings built and managed by government authorities to provide housing to low-income families, notable for their vertical structure.

Social Policies

Plans and actions designed by an organization or government to address social issues and improve the well-being of its citizens.

Working Poor

Individuals and families who have jobs but earn wages too low to rise above the poverty line, facing financial instability despite employment.

Middle Class

The middle class is a social and economic category of people who fall socio-economically between the working class and upper class, often characterized by moderate to high income levels, education, and professional jobs.