Quiz Module 8 ?s Flashcards
You have $300,000 that you want to invest in a one year Certificate of Deposit (CD) with a 4% annual interest rate. What will be the value of that CD in a year?
$312,000
$315,000
$420,000
$301,200
$312,000
What is the future value in 30 years of $100,000 invested today in a savings account earning a 1% compound interest rate every year (rounded up to the nearest dollar)?
$130,000
$30,000
More than $134785
$134,785
$134,785
You plan to invest $100,000 in a 3 year Certificate of Deposit that has a 5% compound interest rate. What is its future value?
$115,000
$115,927
$105,000
$115,763
$115,763
You plan to invest $100,000 in a 3 year Certificate of Deposit that has a simple interest rate of 5%. What is its future value?
$115,763
$115,000
$105,000
$115,927
$115,000
You plan to invest $100,000 in a 3 year Certificate of Deposit that has a simple interest rate of 5%. What is its future value?
$115,763
$115,000
$105,000
$115,927
$115,000
What is the future value in 30 years of $100,000 invested today in a savings account earning a 1% simple interest rate every year (rounded up to the nearest dollar)?
$134,785
$130,000
More than $134,785
$30,000
$130,000
