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An investor makes a 14 year deposit of $6,991. The bank is paying an interest rate of 16.69% per year, compounding monthly. Calculate "n" (number of periods).

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Final answer:

To determine the number of periods for an investment compounded monthly over 14 years, you multiply the number of years by the compounding frequency, which is 12 times per year. The number of periods (n) is 14 years times 12 months per year, equaling 168 periods.

Step-by-step explanation:

To calculate "n" which represents the number of periods in the context of compound interest, you need to know the frequency of compounding per year and the total number of years the money is invested. In this scenario, the interest is being compounded monthly, which means there are 12 compounding periods in a year. To calculate "n" for a 14-year investment, you multiply the number of years by the number of compounding periods per year.

The formula to calculate the number of periods (n) is:

n = number of years × number of compounding periods per year

Therefore, for a 14-year investment with monthly compounding:

n = 14 × 12 = 168

The number of periods (n) is 168.

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