Assuming Interest Rates Average 6 Per Cent, How Much Would

question 115

Multiple Choice

Assuming interest rates average 6 per cent, how much would you need to save at the end of each year if you wished to accumulate one million dollars over 20 years?

• A) $50 000
• B) $43 800
• C) $27 184
• D) $14 565

---

Definitions:

Situational Bias

The effect that context or environment can have on an individual's behaviour or decisions, often leading to skewed perceptions or judgements.

Internal Bias

Refers to the personal, often unconscious, predispositions or tendencies that affect one's decisions, perceptions, and interactions.

Proximity

The physical closeness or distance between two points or objects.

Priming

A technique in psychology used to train people's memory both in positive and negative ways, affecting later thoughts and actions without their awareness.