Calculate the amount that an investor needs to be invest to earn $460 in interest in 12 months if the investor plans to invest x dollars in a savings account that pays interest at an annual rate of 9% compounded semi-annually?	Choose one.
A) 7,000	B) 4,000	C) 6,000	D) 5,000	E) 8,000
the approach is substitution,   our interest requirement is 460 after 12 months, 2 compounding period.   calculate the compound interest on each option and find out the one that yields 460 in 12 months   5,000 yielded $460   using the formula   A = P(1 + r/n)nt   hence answer is 5,000
<result>D</result>
Calculate the amount that an investor needs to be invest to earn $460 in interest in 12 months if the investor plans to invest x dollars in a savings account that pays interest at an annual rate of 9% compounded semi-annually?