Find the amount in an account if

$2000 is invested at 6.125%,compounded
semi-anually,for 2 years.

A. $2,256.49
B. $2,252.50
C. $2,324.89
D. $544,757.84

One of these is the correct answer.
I am coming up with (D) 544,757.84

Can you check, because I am probably wrong.

You are wrong. How can one invest 2000 dollars at a modest rate of interest for two years and get a half-million dollars?

Post your work, I will check.

Instead of calculating interest year-by-year, it would be simple to see the future value of an investment using a compound interest formula. The formula for compound interest is:

Pn = P0(1 + I)n

where:
Pn = Value at end of n time periods
P0 = Beginning Value
I = Interest
n = Number of years

In this case, the beginning value (P0) is $2000, the interest rate (I) is 6.125% or 0.06125 in decimal form, and the number of years (n) is 2.

Plugging in the values into the formula:
Pn = 2000(1 + 0.06125)^2

Calculating step by step:
Pn = 2000(1.06125)^2
Pn = 2000(1.12678)
Pn = $2,253.56

So the amount in the account after 2 years of investing $2000 at 6.125% compounded semi-annually is approximately $2,253.56.

Comparing this to the given answer choices, the closest option is option B, which is $2,252.50. Therefore, the correct answer is not D, $544,757.84.