If You Are Considering a NOW Account That Requires a $500

question 42

Essay

If you are considering a NOW account that requires a $500 minimum balance and pays 2 percent interest,what would be the opportunity cost if you would need to withdraw the required minimum balance from a savings account paying 5 percent interest? Compute the opportunity cost for one year.
(a)$10
(b)$15
(c)$25
(d)$35

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Definitions:

Hierarchical Structure

An organizational structure where entities are ranked one above the other based on their level of authority or importance.

Phonemes

The smallest units of sound in a language that are capable of conveying a distinct meaning.

Single Phoneme

The smallest unit of sound in a language that can distinguish one word from another.

Ed

An abbreviation often used for education, referring to the process of teaching, training, or learning to improve knowledge and develop skills.