Use the Compound Interest Formula , Where P Is

question 22

Multiple Choice

Use the compound interest formula , where P is the original amount of the investment, i is the interest rate per compounded period, n is the total number of compounding periods, and A is the value of the investment after n periods. To save for post-secondary tuition, a parent invests $8000 in a mutual fund that earns interest at the rate of 5.9% per year compounded monthly.
In approximately how many years will the investment be worth $13,700? Round to the nearest year.

• A) 8 years
• B) 4 years
• C) 14 years
• D) 9 years

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Definitions:

M-form Design

An organizational structure characterized by a decentralized decision-making process, divided into semi-autonomous divisions each responsible for its own profit and loss.

Organization Design

Organization design involves the creation of the role, processes, and structure of an organization to ensure it can meet its objectives and strategy effectively.

Multinational Corporation

A company that operates in multiple countries, managing production or delivering services in more than one country.

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The ongoing process of providing employees with the necessary skills and knowledge to perform their jobs effectively, adapting to new technologies and changing industry standards.