A woman deposits

$13,000 at the end of each year for 7

years in an investment account with a guaranteed interest rate of 5% compounded annually.

(a) Find the value in the account at the end of the 7 years.

(b) Her sister works for an investment firm that pays 4%

compounded annually. If the woman deposits money with this firm instead of the one in part (a), how much will she have in her account at the end of 7

years?

(c) How much would she lose or gain over 7 years by investing in her sister's firm?