Multiple choice

A certain sum becomes k times in 6 years at compound interest. How many times will it become in 24 years?

  1. 4k

  2. k4

  3. k3

  4. 3k
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Compound interest formula: A = P(1+r/n)^(nt). If P becomes kP in 6 years, then (1+r/n)^(6n) = k. In 24 years, the amount is P * ((1+r/n)^(6n))^4 = P * k^4.

AI explanation

Using the compound interest formula, a sum becomes k times in 6 years, which means it grows by a factor of k every 6 years. Since 24 years is exactly four periods of 6 years, the growth factor is k multiplied by itself 4 times. Therefore, the sum will become k4 times in 24 years.

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