ou invested $5,000 into a certificate of deposit (CD) today and agreed to leave it in the CD for the next 5 years. The CD pays a 6% annual interest rate, compounded semi-annually. What is the value of the CD at the end of 5 years? answer choice $6,719.58 $6,391.13 $8,954.24 $28,185.46

ou invested $5,000 into a certificate of deposit (CD) today and agreed to leave it in the CD for the next 5 years. The CD pays a 6% annual interest rate, compounded semi-annually. What is the value of the CD at the end of 5 years? answer choice $6,719.58 $6,391.13 $8,954.24 $28,185.46

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

ChapterM: Time Value Of Money Module

Section: Chapter Questions

Problem 11RE: Samuel Ames owes 20,000 to a friend. He wants to know how much he would have to pay if he paid the...

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Question

You invested $5,000 into a certificate of deposit (CD) today and agreed to leave it in the CD for the next 5 years. The CD pays a 6% annual interest rate, compounded semi-annually.

What is the value of the CD at the end of 5 years?

answer choice

$6,719.58

$6,391.13

$8,954.24

$28,185.46

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