If we place $1,500 in a savings account that yields 8 percent compounded bi annually, what will out investment grow to be at the end of 2 years?

you could crunch that manually, and then you would see why the formula is 1500*(1.04)^4

WAIT !!!!! bi annually = once every 2 years, so 1500 * 2 * 8% = 240 ... add 1500 = 1740.00

btw, if you mean SEMI-annually; my guess is $1,754.79 ... so choose, but choose wisely.

$1,749.60

http://www.moneychimp.com/calculator/com...

If we place $1,500 in a savings account that yields 8 percent compounded bi annually, what will out investment grow to be at the end of 2 years?