1) Charter Oak Credit Union has a two year CD (certificate of deposit) at 5% interest compounded monthly.

You want to have $1100 saved at the end of the two years.

(a) (1 point) How much do you have to deposit? Round to two decimal places.

(b) (2 points) Instead of a one-time deposit, you decide on monthly payments. What would they be? Round to two decimal places.

(c) (2 points) Which method would earn you more interest? Justify your response. Round to two decimal places.