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NEW QUESTION: 1
In an investment environment, an initial outlay of $100 grows to $156 in 7 years. The quarterly compounded rate of annual interest implicit in this is:
A. 6.56%
B. 6.12%
C. 6.73%
D. 6.40%
Answer: D
Explanation:
Explanation/Reference:
Explanation:
There are 28 quarters in 7 years. If the quarterly compounded rate is r, then we have 100*(1+r/4)