True or False: If you open an individual retirement account (IRA) at a commercial bank and deposit $1,000 in the account per year, how much will be in the account after 20 years if the funds earn 7% annually? $1,000(40.995) = $40,995

True or False: If a person owes $50,000 at 10 percent and annually pays $10,000, the loan will be retired in 5 years.

True or False: You bought an asset for $10,000 and sold it for $20,000 after 10 years. What was the annual rate of return on this investment? The rate of return or growth rate (g) is approximately 7%.