Four years ago, Saul invested $500. Three years ago, Trek invested $600. Today, these two investments are each worth $800. Assume each account continues to earn its respective rate of return. Which one of the following statements is correct concerning these investments?
A) Three years from today, Trek's investment will be worth more than Saul's.
B) One year ago, Saul's investment was worth less than Trek's investment.
C) Trek earns a higher rate of return than Saul.
D) Trek has earned an average annual interest rate of 9.86 percent.
E) Saul has earned an average annual interest rate of 12.64 percent.
Correct Answer:
Verified
Q47: Sixty years ago, your mother invested $4,500.
Q48: One year ago, you invested $1,750. Today
Q49: You would like to give your child
Q50: On your tenth birthday, you received $300
Q51: What is the present value of $45,000
Q53: When you retire 45 years from now,
Q54: Twelve years ago, your parents set aside
Q55: You want to have $30,000 saved 5
Q56: Assume the total cost of a college
Q57: Theo wants to have $40,000 for a
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents