Conrad Has $10,000; He Is Considering Whether to (1) Invest

question 109

Multiple Choice

Conrad has $10,000; he is considering whether to (1) invest in a mutual fund with an 8% annual interest rate or (2) remodel his kitchen. If he remodels the kitchen, he will be able to sell his home for an additional $13,000 when he moves at the end of five years. Which of the following statements is (are) TRUE?
I. The net present value of remodeling the kitchen is -$1,152.42.
II. Conrad is better off investing his money in the mutual fund.
III. If Conrad invests in the mutual fund, his money will grow to $10,800 at the end of five years, making this a worse investment than the kitchen remodel.

• A) II
• B) I
• C) I and II
• D) I and III

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Definitions:

Basolateral

Pertaining to the base and side portions of a cell, often used in reference to specific regions of neurons or cellular arrangements.

Amygdala

A region of the brain within the temporal lobe that is involved in emotion regulation, emotional memory, and the body's fight-or-flight response.

Reconsolidation

The process by which previously consolidated memories are recalled and actively consolidated again, potentially leading to modifications.

Memory Trace

A theoretical construct representing the physical and potentially biochemical changes in the brain associated with a stored memory.