Solve the Problem. -If $4,000 Is Invested at 7% Compounded Annually, How Long

question 167

Multiple Choice

Solve the problem.
-If $4,000 is invested at 7% compounded annually, how long will it take for it to grow to $6,000, assuming no withdrawals are made? Compute answer to the next higher year if not exact.

• A) 2 years
• B) 5 years
• C) 8 years
• D) 6 years

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Definitions:

Concrete Workers

Individuals specialized in working with concrete, mixing, forming, and finishing surfaces and structures.

Wage

The fixed regular payment, typically calculated on an hourly, daily, or piecework basis, received by an employee from an employer in exchange for work done.

Marginal Product

The marginal product is the additional output resulting from a one-unit increase in the use of a variable input, holding all other inputs constant.

Equilibrium Wage

The wage rate at which the quantity of labor demanded by employers equals the quantity of labor supplied by workers, leading to a balance without surplus or shortage.