If You Wish to Have $25,000 in Five Years,how Much

question 159

Short Answer

If you wish to have $25,000 in five years,how much must you deposit today if you will earn 12% compounded annually on your investment?

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Definitions:

Defense Mechanism

Defense Mechanism refers to psychological strategies brought into play by individuals unconsciously to protect themselves from anxiety or to face reality.

Rationalization

is the cognitive process of making seemingly acceptable explanations for behaviors that are actually irrational, often to justify personal decisions and actions.

Projection

A psychological defense mechanism where individuals attribute their own unwanted feelings, impulses, or thoughts to others.

Displacement

In psychology, a defense mechanism involving the transfer of an emotional response from the original stimulus to a substitute target.