The Future Value of a Sum of Money Deposited in a Bank

question 147

Multiple Choice

The future value of a sum of money deposited in a bank will be higher if ________.

• A) the rate of interest is low
• B) the rate of inflation is low
• C) the returns on other assets are low
• D) the money is kept in the bank for a longer period of time

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Definitions:

Voluntary Responses

Behaviors that are under conscious control, typically as a result of conscious decision making.

Thorndike

Edward Thorndike was an influential psychologist known for his work on learning theory and the Law of Effect.

Researchers

Individuals who systematically investigate and study materials, sources, and subjects to establish facts and reach new conclusions.

Operant Behavior

A type of learning where behavior is controlled by consequences, including rewards and punishments.