Answered step by step
Verified Expert Solution
Question
1 Approved Answer
4) Natalie Engineering invested $95,000 at 6.5 percent interest, compounded annually for 5 years. How much interest did the company earn over this period of
4) Natalie Engineering invested $95,000 at 6.5 percent interest, compounded annually for 5 years. How much interest did the company earn over this period of time? (hint: find future value first)? A) $95,000 B) $35,158.23 $130,158.23 D) $23,457.89 E) $30,875.00 5) Cole has $2,500 that he wants to invest for 3 years. He can invest this amount at PQR bank and earn 1.5% simple interest. Or, he can open an account at XYZ Bank and earn 1.5% interest. compounded annually. If he decides to invest at XYZ Bank for 3 years, he will: A) earn $1.70 more than if he had invested with PQR bank. B) earn $1.70 less than if he had invested with his PQR bank. earn the same amount as if he had invested with the PQR bank. D) have a total balance of $2,500 in his account after one year. E) have a total balance of $4,012 in his account after 3 years
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started