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r-ruslan [8.4K]
3 years ago
9

Assume you have $2,000 in a savings account at the beginning of the year and the price level is equal to 100. If the price level

is equal to 120 at the end of the year, the real value of your savings is closest to:________
Business
1 answer:
SVEN [57.7K]3 years ago
6 0

Answer:

$1,667.67

Explanation:

Given:

Balance in savings account at the beginning of the year = $2,000

Price level at the beginning of the year = 100

Price level at the end of the year = 120

Anything that is worth $120 in the beginning of the year is worth $100 at the end of the year.

Anything worth $1 in the beginning is worth 100/120 at the end.

So, $2,000 is worth \frac{100}{120}\times2,000 = $1,667.67 at the end of the year.

Real value of savings is close to $1,667.67.

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3 years ago
Three years ago, you invested $2,750. Today, it is worth $3,500. What rate of interest did you earn?
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Check:

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Discuss how classification systems have undergone several changes over a period of time.
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<h3>What is classification?</h3>

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Linnaeus created a two-kingdom categorization. Plant and  Animalia are their constituent parts.  But, there would have been numerous species that fell outside the realms.

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Learn more about classification systems, here:

brainly.com/question/1144530

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