You just received a bonus of $1000.

a. Calculate the future value of $1000, given that it will be held in the bank for 8 years and earn an annual interest rate of 7 percent.

What is the future value of $1 comma 000 in a bank account for 8 years at an annual interest rate of 7 percent? $________(Round to the nearest cent.)

b. Recalculate part (a) using a compounding period that is (1) semiannual and (2) bimonthly.

c. Recalculate parts (a) and (b) using an annual interest rate of 14 percent.

d. Recalculate part (a) using a time horizon of 16 years at an annual interest rate of 7 percent.

e. What conclusions can you draw when you compare the answers in parts (c) and (d) with the answers in parts (a) and (b)?