Exponential Equations in Financial Contexts — Quiz
Question 3 • Financial Math
An investor is putting $10,000 into a certificate of deposit. It compounds interest twice a year at a rate of 6 percent Which equation can the investor use to determine how long it will take to reach a balance of $10,612.08 ?
Answer
A
10 comma 612 point 0 8 is equal to 10 comma 000 times open paren 1 plus 0 point 0 6 over 4 close paren raised to the 2 t power
B
10 comma 000 is equal to 10 comma 612 point 0 8 times open paren 1 plus 0 point 0 6 over 4 close paren to the t th power
C
10 comma 000 is equal to 10 comma 612 point 0 8 times open paren 1 plus 0 point 0 6 over 2 close paren raised to the 2 t power
D
10 comma 612 point 0 8 is equal to 10 comma 000 times open paren 1 plus 0 point 0 6 over 2 close paren raised to the 2 t power