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

Comprehend the ways industrially advanced countries can assist developing nations.

Distinguish between low-income, middle-income, and high-income countries.

Understand the economic impact of population growth on developing countries.

Recognize the reduction in global extreme poverty rates over time.

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Definitions:

Operating Activities

Day-to-day actions that are involved in running a business, such as selling products, managing expenses, and paying employees.

Accounts Receivables

Assets of a business representing money owed by customers for goods or services that have been delivered but not yet paid for.

Use of Funds

An explanation of how money will be spent, typically within a business or project framework.

Return on Equity

A measure of a company's profitability by revealing how much profit a company generates with the money shareholders have invested.