Three Years Ago Dawn Put $1,200 into an Account Paying

question 173

Multiple Choice

Three years ago Dawn put $1,200 into an account paying 2 percent interest.How much is Dawn's account worth today?

• A)$1,225.38
• B)$1,248.48
• C)$1,264.72
• D)$1,273.45

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Definitions:

Economic Welfare

The overall well-being and standard of living of people in an economy, often measured by standards such as health, education, and income.

Negative Externalities

occur when the production or consumption of goods and services imposes costs on third parties not involved in the transaction.

Underground Economy

consists of unreported income from the production of legal goods and services, either due to tax avoidance or the desire to avoid government regulations.

Gross Domestic Product

The total valuation in terms of money or market prices of all goods and services completed within a country’s borders within a specified time period.