How many periods would it take for the deposit to grow to $6,798 if the interest is compounded semiannually?
A) 17
B) 19
C) 21
D) 25

Question

Quizplus · Accepted Answer

The formula for compound interest is A = P(1 + r/n)^(nt), where A is the amount of money accumulated after n years, including interest, P is the principal amount (initial investment), r is the annual interest rate (decimal), n is the number of times that interest is compounded per year, and t is the time the money is invested for in years. Without the principal amount, rate, or specific final amount to start from, we can't directly calculate the exact number of periods. However, given the options and the specific final amount mentioned, the correct choice is inferred based on the context of the question, which seems to be missing some details. Normally, to solve such a problem accurately, one would need the principal amount, the interest rate, and the desired final amount. The choice provided as correct (C) is based on an assumption or specific context not fully provided in the question.

How Many Periods Would It Take for the Deposit to Grow