$5100 invested for 9 years at 10 percent compounded annually will accumulate to $____ round to nearest cent.
a. A calculate the future value of $5000 given that it will be held in the bank for 7 years and earn an annual interest rate of 6 percent..
b. Recalculate part (a) using a compounding period that is (1) semiannual and (2) bimonthly.
c. . Recalculate parts (a) and (b) using an annual interest rate of 12 percent.
d. Recalculate part (a) using a time horizon of 14 years at an annual interest rate of 6 percent.
e. What conclusions can you draw when you compare the answers in parts c and (d) with the answers in parts (a) and b)?