You Are Comparing Four Different Investments,as Described Below

question 87

Multiple Choice

You are comparing four different investments,as described below:
Investment A: Pays 12%,compounded annually
Investment B: Pays 12%,compounded quarterly
Investment C: Pays 12%,compounded semi-annually
Investment D: Pays 12%,compounded continuously
Which of the above investments would result in the highest future value?

• A) Investment A
• B) Investment B
• C) Investment C
• D) Investment D
• E) All of the investments would have the same future value since the stated interest rate is the same.

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Definitions:

Mescaline

A psychedelic alkaloid of the phenethylamine class, known for its hallucinogenic effects on humans, primarily found in the peyote cactus.

Heroin

An opioid drug derived from morphine, highly addictive and illegal in many countries, used for its euphoric effects.

Zoopharmacognosy

Behavior in which non-human animals self-medicate.

Administration

The process of managing and overseeing the operations of an organization or institution, or the execution of policies and decisions.