Calculate the Amount of Interest If $700

question 45

Multiple Choice

Calculate the amount of interest if $700.00 is invested at 5.5% for two years and nine months.

• A) $111.65
• B) $105.88
• C) $10 587.50
• D) $1058.75
• E) $158.65

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Definitions:

Economies of Scale

The cost advantages that enterprises obtain due to their scale of operation, resulting in cost per unit of output decreasing with increasing scale.

Diseconomies of Scale

The phenomenon where production costs per unit increase as an operation scales up, typically due to inefficiencies or increased complexities.

Long-Run

The long-run refers to a period in economics where all factors of production and costs are variable, allowing all inputs to be adjusted.

Short-Run

A period in economics during which at least one factor of production is fixed, focusing on immediate effects and adjustments.