If You Put $100 into a Bank Account That Earns

question 223

Multiple Choice

If you put $100 into a bank account that earns five percent interest per year,what is the formula you should use to determine the account's future value in one year?

• A)Future value equals the present value divided by the rate of interest.
• B)Future value equals the present value multiplied by the rate of interest.
• C)Future value equals the present value multiplied by one plus the rate of interest in decimals.
• D)All of these yield the same answer.

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Definitions:

Prefrontal Cortex

A region of the brain associated with decision making, social behavior, personality, and cognitive planning.

Cortex

The outer layer of the cerebrum of the brain, involved in various high-level brain functions such as sensation, voluntary muscle movement, thought, reasoning, and memory.

Lateralization

Refers to the tendency for some neural functions or cognitive processes to be more dominant in one hemisphere of the brain than the other.

Adapt

To adjust or change behavior, characteristics, or ideas to fit a new environment or conditions.