Kevin deposits a certain sum in a bank at an annual compounded rate of interest for two years. Interest in the second year will be calculated on:
A) the principal amount only.
B) the amount in the account after one year.
C) the sum of the principal amount and the amount in the account after one year.
D) the difference in the principal amount and the amount in the account after one year.
B
You might also like to view...
If the Federal Reserve conducts open market ________, the money supply ________, shifting the LM curve to the right, everything else held constant
A) purchases; decreases B) sales; decreases C) purchases; increases D) sales; increases
Suppose a student group from your university tours the United Kingdom. As they purchase English goods, their actions will
a. create a demand for dollars and a supply of English pounds in the foreign exchange market. b. create a demand for English pounds and a supply of dollars in the foreign exchange market. c. cause the U.S. dollar to appreciate. d. cause the English pound to depreciate.
When there is an inflationary gap, (actual) Real GDP is __________ Natural Real GDP, and the (actual) unemployment rate is __________ the natural unemployment rate
A) greater than; less than B) greater than; greater than C) less than; greater than D) less than; less than E) less than; equal to
One implication of the phenomenon described by economist Richard Easterlin as the "hedonic treadmill" is that:
A. People who consume more goods and services are happier than those who consume less B. People can only become happier if they are consuming more and more C. There is a threshold of consumption that one must cross before one can be happy D. We can combine the happiness of different individuals to get "total happiness"