Approximately how many years would it take for an investment to grow fourfold if it was invested at 16 percent compounded semiannually

4.5 years

Explanation:

You can use the Rule of 144 to calculate how long it will take for an investment to grow fourfold.

It works by dividing 144 by the interest rate the investment is growing at;

= 144/16

= 9

As the investment is being compounded semi-annually, the number of years it will take are;

= 9/2

= 4.5 years

The correct answer is letter A. True. Concept formation is the ability to categorize information that aids in cognitive development. It is an inductive strategy which helps students have a better understanding about an idea through examples or concepts.