Future value for various compounding periods

Find the amount to which $700 will grow under each of these conditions:

9% compounded annually for 7 years. Do not round intermediate calculations. Round your answer to the nearest cent. $

9% compounded semiannually for 7 years. Do not round intermediate calculations. Round your answer to the nearest cent. $

9% compounded quarterly for 7 years. Do not round intermediate calculations. Round your answer to the nearest cent. $

9% compounded monthly for 7 years. Do not round intermediate calculations. Round your answer to the nearest cent. $

9% compounded daily for 7 years. Do not round intermediate calculations. Round your answer to the nearest cent. $

Why does the observed pattern of FVs occur?

-Select-The future values increase because as compounding periods per year increase, interest is earned on interest less frequentlyThe future values decrease because as compounding periods per year increase, interest is earned on interest more frequentlyThe future values increase because as compounding periods per year increase, interest is earned on interest more frequentlyThe future values increase because as compounding periods per year decrease, interest is earned on interest more frequentlyThe future values decrease because as compounding periods per year decrease, interest is earned on interest more frequentlyItem 6