How Long Will It Take $3,000 to Reach $5,000 When

question 124

Multiple Choice

How long will it take $3,000 to reach $5,000 when it grows at 7 percent per year?

• A) 7.00 years
• B) 7.55 years
• C) 9.52 years
• D) 10.29 years

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Definitions:

Deficit

A financial situation where expenditures exceed revenue, leading to a shortfall that must be financed through borrowing or existing reserves.

Foreign Assets

Investments or properties owned by individuals or entities in countries other than their home country.

Investments Abroad

Allocation of resources by individuals, corporations, or governments in foreign countries for the purpose of acquiring assets or stakes in companies.

Exchange Rate

The value at which the currency of one nation can be converted into the currency of another nation.