PRINTER VERSION Question 21 Tracey deposits $5,000 in a five-year certificate of deposit paying 6% compounded semi-annually. How much will Tracey have at the end of the five-year perio ? $6,720 ? $6,690 ? $6,596 ? $6,910 Click if you would like to Show Work for this question: Open Show Work Question Attempts: 0 of 1 used SAVE FOR LATER SUB
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Since the interest is compounded semi-annually, we divide the annual interest rate by 2. So, the interest rate per compounding period is 6% / 2 = 3%. Show more…
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