Suppose you had $100 in a savings account and the interest rate was 2 percent per year. After five years, how much do you think you would have in the account if you left the money to grow?

Imagine that the interest rate on your savings account was 1 percent per year and inflation was 2 percent per year. After one year, would you be able to buy more than, exactly the same as, or less than today with the money in this account?

Do you think that the following statement is true or false? "Buying a single company stock usually provides a safer return than a stock mutual fund."

Suppose you had $100 in a savings account and the interest rate is 20 percent per year and you never withdraw money or interest payments. After five years, how much would you have on this account in total?

If the interest rate falls, what should happen to bond prices?