The government begins year 1 with $25 billion of debt. Based on the information in the above table, what is the amount of debt following year 5?
A) -$20 billion (The government has net saving rather than debt.)
B) $35 billion
C) $50 billion
D) $325 billion

Question

Quizplus · Accepted Answer

The debt increases by $25 billion each year over 5 years, starting from $25 billion, resulting in a total debt of $50 billion by the end of year 5.

The Government Begins Year 1 with $25 Billion of Debt