Today, Tony deposited $10,000 in a four-year, 6% CD that compounds semiannually. What is the maturity value of the CD? a...

Question

Question

Today, Tony deposited $10,000 in a four-year, 6% CD that compounds semiannually. What is the maturity value of the CD?

a. $12,668.

b. $119,410.

c. $142,576.

d. $309,090.

Answer 1

Answer #1

Correct answer-----------(a) $12,668

Working

Amount deposited	Future value factor for 8 periods @3%	Future value of deposit
$ 10,000.00	1.266770081	$ 12,668

Answer 2

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