How much must be invested now at 6% simple interest to accumulate $1,000 at the end of 5 years? Choose an answer by clicking on one of the letters below, or click on "Review topic" if needed. A P = $1,000 / [ 1 + (0.06)(5) ] = $1,000 / 1.30 = $769 B F = $1,000 [ 1 + (0.06)(5) ] = $1,000 (1.30) = $1,300 C P = $1,000 / 5 = $200 D P = $1,000 (P/F,6%,5) = $1,000 (0.7473
How much must be invested now at 6% simple interest to accumulate $1,000 at the end of 5 years? Choose an answer by clicking on one of the letters below, or click on "Review topic" if needed. A P = $1,000 / [ 1 + (0.06)(5) ] = $1,000 / 1.30 = $769 B F = $1,000 [ 1 + (0.06)(5) ] = $1,000 (1.30) = $1,300 C P = $1,000 / 5 = $200 D P = $1,000 (P/F,6%,5) = $1,000 (0.7473
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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How much must be invested now at 6% simple interest to accumulate $1,000 at the end of 5 years?
Choose an answer by clicking on one of the letters below, or click on "Review topic" if needed.
A P = $1,000 / [ 1 + (0.06)(5) ] = $1,000 / 1.30 = $769
B F = $1,000 [ 1 + (0.06)(5) ] = $1,000 (1.30) = $1,300
C P = $1,000 / 5 = $200
D P = $1,000 (P/F,6%,5) = $1,000 (0.7473) = $747
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