Question 5 (4 points) Consider a two-year investment: Given a constant and positive interest rate, the interest earned in the second year will be greater than the interest earned in the first year (assuming annual compounding). True False Question 6 (4 points) You could double your money in about 9 years if you could earn an annual rate of return of what? Use formula in textbook and formula sheet, the Rule of 72 or a financial calculator You would need to earn an annual rate of return of about 10%. You would need to earn an annual rate of return of about 8%. You would need to earn an annual rate of return of about 12%. There is not enough information to answer this question Previous Page Next Page