If the Value of Your Savings Is Increasing Over Time

question 110

Multiple Choice

If the value of your savings is increasing over time, it must be true that the inflation rate:

• A) is higher than the nominal interest rate.
• B) is lower than the nominal interest rate.
• C) is equal to the nominal interest rate.
• D) is zero.

---

Definitions:

Duration

The length of time that something continues or exists.

Overestimate

To assess something as more, larger, or more important than it actually is.

Role Management

The process of balancing and navigating various roles one holds in personal and professional life to avoid role conflict.

Realistic Job Previews

A strategy used by organizations to provide potential employees with an accurate overview of a job's duties and realities, helping them to make informed decisions and setting realistic expectations.