According to the Rule of 70,if the Interest Rate Is

question 38

Multiple Choice

According to the rule of 70,if the interest rate is 10 percent,about how long will it take for the value of a savings account to double?

• A)about 6.3 years
• B)about 7 years
• C)about 7.7 years
• D)about 10 years

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Definitions:

Downward Sloping

A term typically used to describe a demand curve that shows the inverse relationship between the price of a product and the quantity demanded.

Demand Curve

A graphical representation showing the relationship between the price of a good and the quantity of that good that consumers are willing to purchase.

Perfectly Competitive Firm

A company that sells a product for which there are many sellers and buyers, and where its product is identical to that of competitors, meaning it has no control over market price.

Marginal Revenue (MR)

The extra income a company earns by selling an additional unit of a product or service.