Derek Contributed $200 Per Month for Twenty Years at an Interest

question 185

Multiple Choice

Derek contributed $200 per month for twenty years at an interest rate of 3.9% compounded semi-annually. Determine how much interest was earned over the twenty year period.

• A) $24,282.30
• B) $25,282.30
• C) $26,282.30
• D) $27,282.30
• E) $28,282.30

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Definitions:

Goodness-of-fit Test

A statistical test used to determine how well observed data match the expected distribution or model.

Test of Independence

A statistical method used to determine whether two categorical variables are independent of each other.

Nonparametric Test

A different phrasing for nonparametric statistics, these are tests used for analyzing data when the assumptions for parametric tests cannot be met, focusing on the ranks or orders of the data.

McNemar

A statistical test used to determine if there are differences on a dichotomous dependent variable between two related groups.