Assume That You Can Invest to Earn a Stated Annual

question 99

Multiple Choice

Assume that you can invest to earn a stated annual rate of return of 12 percent,but where interest is compounded semiannually.If you make 20 consecutive semiannual deposits of $500 each,with the first deposit being made today,what will your balance be at the end of Year 20?

• A) $52,821.19
• B) $57,900.83
• C) $58,988.19
• D) $62,527.47
• E) $64,131.50

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Definitions:

Mechanistic

Pertaining to the theory or approach that interprets the functioning of a complex system as if it were a machine or as being governed by predictable and explainable processes.

Response Tendencies

Patterns of behavior that an individual exhibits in response to a specific stimulus or situation.

B. F. Skinner

An American psychologist and behaviorist known for his work on operant conditioning and his development of the theory of behaviorism.

Person-Centred Theory

A psychological approach emphasizing the importance of self-awareness and the innate tendency toward growth and fulfillment, developed by Carl Rogers.