Best explained and correct answer gets brainliest.

To begin, we know that the formula for annual compound interest, including principal sum, is: A = P (1 + r/n)^(nt)

Where:

A = the future value of the investment/loan, including interest
P = the principal investment amount (the initial deposit or loan amount)
r = the annual interest rate (decimal)
n = the number of times that interest is compounded per year
t = the number of years the money is invested or borrowed for

So plugging in the information you have we get this equation:

1000 = P (1 + 0.06/2)^(2)(5)

then the rest is basic math. *make sure to always follow PEMDAS*

divide then add what is in the paranthesis: (0.06/2)+1 = 1.03

then multiply 2*10 to get the exponent to 10

1000=P(1.03)^10

next step we raise 1.03 to the 10th power

1000=P(1.3439)

Last but not least, to isolate the principal, we divide 1.3439 to the other side.

1000/1.3439

since we are finding a dollar amount, round to the hundredths place

The answer is D. $744.09

hope this helps! :)