Aer Leag Economics (2019)
1.1.6 Quiz: What is the Economy Anyway?
10
Question 3 of 10
Which of the following best describes what capital contributes to production?
A Resources taken from the Earth to supply production
B. Human effort and ideas that drive production.
Resources created by humans to aid production
D Energy from the environment to fuel production
SUSMIT

Over the past several years, joyce chen has been able to save regularly. as a result, today she has $54,188 in savings and investments. she wants to establish her own business in 5 years and feels she will need $100,000 to do so. a. if she can earn 6% on her money, how much will her $54,188 in savings/investments be worth in 5 years? will joyce have the $100,000 she needs? if not, how much more money will she need? b. given your answer to part a, how much will joyce have to save each year over the next 5 years to accumulate the additional money? assume she can earn interest at a rate of 6%. c. if joyce can afford to save only $4,000 a year then, given your answer to part a, will she have the $100,000 she needs to start her own business in 5 years?