The Price of an Antique Is Expected to Rise by 4

question 27

Multiple Choice

The price of an antique is expected to rise by 4% during the next year.The interest rate is 9%.You are thinking of buying an antique and selling it a year from now.You would be willing to pay a total of 400 dollars for the pleasure of owning the antique for a year.How much would you be willing to pay to buy this antique? (See Problem 5.)

• A)400 dollars
• B)8,400 dollars
• C)4,444.44 dollars
• D)8,000 dollars
• E)4,000 dollars

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Definitions:

Cloud And Ground

Refers to lightning discharges that occur between a cloud and the earth's surface.

Static Charge

An imbalance of electric charges within or on the surface of a material, which remains until it is able to move away through an electric current or electrical discharge.

Spray Painting

The application of paint or another substance through the air onto a surface via the use of a spray gun, creating a uniform and smooth layer.

Electrostatic Charges

Voltage developed by an excess or lack of electrons on an object.