You Are Considering an Investment in a Third World Bank

question 42

Multiple Choice

You are considering an investment in a Third World bank account that pays a nominal annual rate of 18%,compounded monthly.If you invest $5,000 at the beginning of each month,how many months would it take for your account to grow to $450,000? Round fractional months up.

• A) 47
• B) 57
• C) 67
• D) 51
• E) 70

---

Definitions:

Privacy Need

The intrinsic human requirement for personal space and confidentiality, affecting emotional and psychological well-being.

Neurotic Needs

Refers to ten interpersonal needs identified by Karen Horney that can become problematic if they dominate one's behavior, such as the need for approval or power.

Irrational Solutions

Refers to ineffective or unrealistic responses to problems or situations, often stemming from cognitive distortions or emotional biases.

Clusters

Groups or sets of similar items, events, or individuals, aggregated together based on shared characteristics.