Compound Interest Is the Return on Principal

question 38

Multiple Choice

Compound interest is the return on principal

• A) only.
• B) for one or more periods.
• C) plus interest for two or more periods.
• D) for one period.

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Definitions:

Transfer Case

An auxiliary transmission used to split drive torque from the main transmission between rear and forward drive axles. Also known as a dropbox.

Differential Carrier

The housing that encloses the differential assembly in a vehicle, supporting the gears that allow the wheels to rotate at different speeds.

Backlash

The play or slop between mating mechanical parts, such as gears, which is the result of gaps between parts.

Meshing Gears

The process where the teeth of two or more gears come into contact with each other in order to transmit power from one shaft to another.