You Need $8,000 Four Years from Now for a Down

question 31

Multiple Choice

You need $8,000 four years from now for a down payment on your future house. How much money must you deposit today if your credit union pays 5% interest compounded annually? Pick the closest answer.

• A) $6,269.59
• B) $6,578.95
• C) $6,394.12
• D) $6,189.83

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Definitions:

Natural Gas

A fossil fuel formed from the remains of ancient marine organisms, used as a source of energy and raw materials.

Business Regulations

Rules and standards set by governments or regulatory bodies to control and guide the operations, ethics, and practices of businesses within a jurisdiction.

Arbitration

A method of dispute resolution where an impartial third party makes a decision to resolve the conflict, often used as an alternative to litigation.

Binding Decision

A definitive ruling or judgment, usually from a court or tribunal, that is legally required to be followed.