You Deposit $20,000 in an Account That Doubles in 7

question 95

Multiple Choice

You deposit $20,000 in an account that doubles in 7 years. How many years will it take the account to be reduced to its original value if it loses 12 percent per year?

• A)4.92 years
• B)5.42 years
• C)6.62 years
• D)8.22 years

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Definitions:

Confidence Interval

A statistical range, typically derived from sample data, intended to contain the true value of an unknown population parameter with a specified probability.

Random Sample

A sample drawn in such a way that every member of the population has an equal chance of being selected.

Response Rate

The proportion of individuals who respond to a survey, questionnaire, or research study out of the total number asked to participate.

Generalizing Results

The practice of extending the findings from a research study to a larger population beyond the sample studied.