Assume that you are willing to postpone consumption today and buy a certificate of deposit (CD) at your local bank. Your reward for postponing consumption implies that at the end of the year ________.

A) you will be able to consume fewer goods
B) you will be able to buy the same amount of goods or services
C) you will be able to buy fewer goods or services
D) you will be able to buy more goods or services

Question

02-03-2020
Business

contestada

Assume that you are willing to postpone consumption today and buy a certificate of deposit (CD) at your local bank. Your reward for postponing consumption implies that at the end of the year ________.

A) you will be able to consume fewer goods
B) you will be able to buy the same amount of goods or services
C) you will be able to buy fewer goods or services
D) you will be able to buy more goods or services

Respuesta :

Otras preguntas

sale in thousands of a new type of product are given by s(t)=170-80e^(-.7*t) where t represents time in years. find the rate of change of sales at the time whe

What is the measure of xyz?

Now, write a short journal entry or letter of about 200 words from the point of view of a person who is taking part in the journey. Use your interpretation of p

Hello i have some questions i do not understand. 1. To the nearest tenth, what is the distance in units between the points (-2, 5) and (4,1)? 2. Which of the f

claim: Requiring the use of electric vehicles in the United States would cause us to be less reliant on foreign oil.Which statement is an example of a reasonabl

Bones and teeth are an example of ________ sediment.

You’re given side AB with a length of 6 centimeters and side BC with a length of 5 centimeters. The measure of angle A is 30°. How many triangles can you constr

Carbon exists in nature as three isotopes. Given the atomic masses and relative abundance of the isotopes, what is the average atomic mass of carbon?

write a congruence statement for the pair of trangles

biodunomotoso biodunomotoso · Answer 1 · 2020-03-06T10:28:34+01:00

Answer:

You will be able to Buy fewer goods or services

Explanation:

This is because certificate of deposits usually pay lower than the inflation rate.

The certificate of deposit is deposit with banks over a fixed period of time and accruing a specific pre-agreed rate of interest.

Over the life of the Certificate, the amount cannot be withdrawn. Withdrawing any or all of the deposits will result in penalty charges against the depositor.

BenitoMarin BenitoMarin · Answer 2 · 2020-03-07T21:28:43+01:00

Answer:

The correct answer is letter "D": you will be able to buy more goods or services.

Explanation:

A Certificate of Deposit (CD) is a basic financial product sold by banks, thrift organizations, and credit unions. Customers buy CDs to earn interest -usually higher- while keeping their money safe. Banks require CDs buyers to make the payment in a lump-sum and keep the amount of money untouched for a determined period of time.

Thus, by postponing consumption today and buying a CD, an individual will have more money after the CD duration ends since that person will have the original sum of the CD plus interest accrued. Then, that individual will be able to buy at will more goods or services than today.