Question: 1. Approximately how many years would it take for an investment to grow sixfold if it were invested at 18% compounded semiannually? Assume that you

1. Approximately how many years would it take for an investment to grow sixfold if it were invested at 18% compounded semiannually? Assume that you invest $1 today.

If you invest $1 at 18 percent compounded semiannually, about how many years would it take for your investment to grow sixfold to $6?

Hint:Remember to convert your calculator solution to years.

2. Based on effective interest rates, would you prefer to deposit your money into Springfield National Bank, which pays 6.5 percent interest compounded weekly, or into Burns National Bank, which pays 6.3 percent compounded semiannually?

a. If Springfield National Bank pays 6.5 percent interest compounded weekly, the EAR for the deposit is?

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