A 2-year certificate of deposit is purchased for E dollars. If the certificate earns interest at a n annual rate of 6 percent compound quarterly, which of the following represents the value, in dollars, of the certificate at the end of 2 years?  Choose the correct option
A) k(1.06)^2
B) k(1.06)^8
C) k(1.015)^2
D) E(1.015)^8
E) k(1.03)^4
Annual Rate of interest= 6%   Quaterly rate of interest= 6/4= 
<gadget id="calculator">6/4</gadget>
<output>3/2 = around 1.5</output>
1.5%   Now, periods of compounding in 2 years= 8 (8 quarters)   Thus E(1.015)^8   Answer: E(1.015)^8
<result>D</result>
A 2-year certificate of deposit is purchased for E dollars. If the certificate earns interest at a n annual rate of 6 percent compound quarterly, which of the following represents the value, in dollars, of the certificate at the end of 2 years?