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Joseph borrows $10000 from his sister kate at an annual interest rate of 10%. If the interest is compounded twice a year, how much doe she owe after 12 months?

 Jun 5, 2021
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If interest is compounded twice a year, it is compounded every 6 months.  Thus, after 12 months, interest will have compounded twice.  \(1.1^2*10,000\) = \(1.21*10,000 = $12,100\)

 Jun 5, 2021

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