Ms. Lopez deposits $ 100 in an account that pays 20% interest, compounded semiannually. How much money will there be in the account at the end of one year?
Choose the most appropriate option:  A) $118.00  B) $120.00  C) $121.00  D) $122.00  E) $140.00
et me explain the concept for those who are not familiar with compounded semi annually/ quarterly etc..   it basically means, here, that the interest will be paid twice, after 6 months and at the end of year..so twice..   but interest is 20%, which will get distributed semiannually that is 10%...   so the Q literally means ..   after 6 months..   100*10/100 + 100=110..   at the end of year   110*10/100 + 110= 121..   or we put it in compound interest formula..   where CI=10%, T is 2 and P=100..   so amount = 100(1 + 10/100)^2=100*1.1*1.1=121..   ANSWER:$121.00
<result>C</result>
Ms. Lopez deposits $ 100 in an account that pays 20% interest, compounded semiannually. How much money will there be in the account at the end of one year?