ECONOMICS
INFLATION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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$30776.62
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$11524.34
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$11465.57
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None of the above
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Detailed explanation-1: -Account #3: Quarterly Compounding The annual interest rate is restated to be the quarterly rate of i = 2% (8% per year divided by 4 three-month periods). The present value of $10, 000 will grow to a future value of $10, 824 (rounded) at the end of one year when the 8% annual interest rate is compounded quarterly.
Detailed explanation-2: -An investment of $1, 000 made today will be worth $1, 480.24 in five years at interest rate of 8% compounded semi-annually.
Detailed explanation-3: -∴ Compound interest is ₹ 1698.58.
Detailed explanation-4: -The rule says that to find the number of years required to double your money at a given interest rate, you just divide the interest rate into 72. For example, if you want to know how long it will take to double your money at eight percent interest, divide 8 into 72 and get 9 years.