You Have Been Asked to Compute the Amount That Will

question 85

Multiple Choice

You have been asked to compute the amount 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) Present value of an annuity.
• C) Future value of a single amount.

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Definitions:

Homologous

Structures or molecules in different species that are similar because of common ancestry.

Penis

Male copulatory organ; in humans, the male organ of sexual intercourse.

Oviduct

The tube through which an egg passes from an ovary.