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Earn +20 ptsQ: What does Compounded semi annually mean?
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Does Interest Compounded semi-annually double every year?
No.
What does it mean when they say interest compounded semi annually?
It is compounded twice a year. The formula is A=P(1+rt) P is how much is put in, r is the percentage as a decimal, t is how many times it is compounded a year so in this case it would be 2. So if deposited $1000 in a bank at 8% that is compounded semi annually, the formula would look like this. A=$1000(1+.08(2))
If you invest 750 every six months at 8 percent compounded semi annually how much at the end of ten years?
$22334
How much money should be deposited today in an account that earns 6 percent compounded semi annually so that it will accumulate to 20000 in five years?
189.89
Is the return of 12 percent compounded annually is the same as a return of 1 percent per month?
Only if the 1% per month is compounded annually and not monthly.
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