[grania]

#3 I would get wrong. For someone who has basic knowledge of the stock market, they'd be better off choosing one stock rather than leaving it to a mutual fund, where the expenses eat up the profits. What makes the question ridiculous is the cost of purchasing one share of stock. #1....the answer is more than $110....2% a year for 5 years, plus accrual. The choices are somewhat irrelevant.

You want bad? A bank had a "professional" call me about helping me with planning my finances. A savings account is paying .6% interest, and that with restrictions. I asked her "roughly how long would it take my savings to double, using the rule of 72?". She didn't even know what the rule of 72 is! And that's the banks "expert".

[Vermont Lt]

It doesn’t matter. At .6% by the time your money doubled! you would be dead and the money wouldn’t be worth anything.