Homer Has Been Saving to Buy a New Car in Five

question 23

Multiple Choice

Homer has been saving to buy a new car in five years and expects that the car of his dreams will cost $35,000. If the interest rate is 8 percent per year, how much money should Homer have in his bank account today in order to have enough money to buy the car in 5 years?

• A) $1,852.28
• B) $22,055.94
• C) $23,820.41
• D) $25,726.04

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Definitions:

Federal Preemption

A legal doctrine allowing federal law to take precedence over state laws in certain areas, based on the Supremacy Clause of the U.S. Constitution.

Congress Intent

The legislative purpose or the objectives that members of Congress aimed to achieve when enacting a specific statute or law.

Judicial Review

The power of courts to assess the legality of acts or decisions made by government officials or agencies, ensuring they do not violate the constitution or legal statutes.

Pervasive Regulation

Extensive and widespread regulatory control within a particular industry or across various sectors.