What Is the Future Value of $1,000 Deposited for One

question 102

Multiple Choice

What is the future value of $1,000 deposited for one year earning 5 percent interest rate annually?

• A) $1,000
• B) $1,005
• C) $1,050
• D) $2,050

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Definitions:

Growth Rate

The rate at which a company's or country's economic output or Gross Domestic Product (GDP) increases over a specified period.

Short-Run Outcomes

Results or consequences occurring within a brief time period following specific events or decisions in economics or business.

Price Level

A measure of the average prices of goods and services in an economy, indicating the purchasing power of the currency and the inflation rate.

Unemployment

The situation where individuals who are capable of working and are seeking work are unable to find employment.