Which of the Following Investments Will Have the Highest Future

question 119

Multiple Choice

Which of the following investments will have the highest future value?

• A) $1,300 invested at an annual interest rate of 10% for 5 years
• B) $1,000 invested at an quarterly interest rate of 2.25% for 10 years
• C) $1,300 invested at an quarterly interest rate of 2.25% for 5 years
• D) $1,000 invested at an annual interest rate of 10% for 10 years

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Definitions:

Direct Material B

Direct Material B pertains to specific raw materials or components designated with a "B" classification, used directly in the production of goods.

Finished Goods Inventory

The stock of completed products that are ready to be sold but have not yet been sold.

Raw Materials Inventory

The total cost of all the components kept in stock that are used in the production process.

Direct Material B

A specific category of raw material that can be directly attributable to the manufacture of a product, distinct from other materials used.