Write the Word or Phrase That Best Completes Each Statement $3.5 \%$

question 4

Multiple Choice

Write the word or phrase that best completes each statement or answers the question.
-The purchasing power of a dollar is decreasing at the rate of $3.5 \%$ annually, compounded continuously. How long will it take for the purchasing power of $\$ 1.00$ to be worth $\$ 0.62$ ? Round answers to the nearest hundredth.

• A) \(1.37 \mathrm { yr }\)
• B) \(17.71 \mathrm { yr }\)
• C) \(13.66 \mathrm { yr }\)
• D) \(0.14 \mathrm { yr }\)

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Definitions:

Machine Breakdowns

Unplanned events where machinery or equipment fails to operate, potentially causing disruptions in production and incurred costs for repairs and maintenance.

Materials Spoilage

Products or components that are damaged, expired, or otherwise unable to be used in production, often leading to waste and financial loss.

Budgeted Cost Systems

Accounting systems that use budgets to project the costs of operating a business, typically used for planning and control purposes.

Standards

Established requirements, specifications, guidelines, or characteristics to be used consistently to ensure that materials, products, processes, and services are fit for their purpose.