With ATMs, It Is Possible to Retrieve Cash from the Bank

question 13

Multiple Choice

With ATMs, it is possible to retrieve cash from the bank at any time. One hundred years ago, one could only get cash from the bank during business hours, say, 9 am to 3 pm. The difference has arisen because:

• A) flexibility was not valued 100 years ago.
• B) it was impossible to provide 24-hour service 100 years ago.
• C) the cost of providing 24-hour service is much lower today.
• D) government forced banks to become more convenient.

---

Definitions:

Future Value

The worth of a present asset on a future specified date, calculated using a projected growth rate.

Future Value

The value of a current asset at a specified date in the future based on an assumed rate of growth over time.

Future Value

The value of an investment at a specific future date, including interest earned or compound interest.

Compounded Quarterly

A method of calculating interest where the interest earned each quarter is added to the principal, so that the balance doesn’t merely grow, it grows at an increasing rate.