Future value (with changing interest rates). jose has $6 comma 000 to invest for a 2-year period. he is looking at four different investment choices. what will be the value of his investment at the end of 2 years for each of the following potential investments? a. bank cd at 4%. b. bond fund at 7%. c. mutual stock fund at 11%. d. new venture stock at 23%. a. what will be the value of jose's bank cd investment that offers an annual rate of return of 4% for 2 years?

a.- CD                      6,489.60

b.- Bonds                6,869.40

c.- Mutual stock      7,392.60

d.- Venture Stock   9,077.40

Explanation:

We will calculate the future value of a lump sum:

Principal$6,000.00

time2 years

rate         4% = 0.04000

Amount6,489.60

b.- bond fund rate 7%

rate0.07000

Amount6,869.40

c.- Mutual fund rate 11%

rate0.11000

Amount7,392.60

d.- venture stock rate 23%

rate0.23000

Amount9,077.40

D. Serve as the fiscal agent for the Federal government

Explanation:

The Federal Reserve System (FRS) is the central bank of the United States. FRS regulates the U.S. monetary and financial system.

The functions of Federal Reserve System includes;

1. conducting the nation's monetary policy

2. regulating banking institutions

3. monitoring and protecting the credit rights of consumers

4. maintaining the stability of the financial system

5. providing financial services to the U.S. government.