If the Principal Invested in a Bank at an Annual

question 56

Multiple Choice

If the principal invested in a bank at an annual interest rate of 6% is $3,000, the interest that will accumulate on the principal after a year will equal

• A)$180.
• B)$300.
• C)$500.
• D)$700.

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Definitions:

Surplus Labor

This term refers to the portion of the labor force which is not currently being employed to its full potential, often leading to unemployment or underemployment in an economy.

Agriculture

The science or practice of farming, including cultivation of the soil for the growing of crops and the rearing of animals to provide food, wool, and other products.

Capital-Using Technological Advance

A capital-using technological advance refers to innovations that increase the amount of capital per worker used in the production process, potentially enhancing productivity but also increasing capital costs.

Vicious Cycle of Poverty

A self-perpetuating condition where poverty leads to situations that perpetuate poverty, making it difficult for individuals or communities to escape poverty.