1. When describing the time value of money, the phrase a dollar today is worth more than a dollar tomorrow means:

		A. A dollar today buys more goods/services than a dollar tomorrow
		B. A dollar today buys more goods/services than a dollar tomorrow
		C. both of these explain the time value of money
		D. None of these are true

2. Investments in BONDS and STOCKS should be considered investment projects

A. True

B. False

3. Clara bought a one-family home in Park Slope in 2002 for $900,000. In 2020, she sold the home for 1.4 million dollars. Claras return on investment (ROI) is

		A. 5%
		B. 55.5%
		C. 500,000
		D. 555%

4. Dina is 30 years old and wants to retire in Florida at age 55. She estimates that a condo in Florida will cost around $300,000 when she turns 55. She has already saved $45,000. If she invests the money in a bond that pays 8% return every year, will she reach her goal?

		A. No, she will need to invest that money for 45 years to reach her goal
		B. No, she needs to have saved 53,805.37
		C. Yes, she will have 308,181
		D. Yes, she will have 333,000

5. Nancy will need $500,000 in 20 years to buy a house on the water in Ft. Lauderdale Florida. In order to reach her goal, she decides to invest in a real estate stock that has paid a consistent annual dividend of 14%. How much does Jenny have to invest in the fund each month in order to achieve her goal of 500,000?

		A. Need more information to answer this question
		B. 589.00
		C. 2375.00
		D. 384.27