and Bank of America ${?}^1.$ You find the following information about rates:

Truist One Savings or BoA Advantage Savings: APR $0\mathrm{.}01\%,$ compounded daily

Truist One Money Market: APR $0\mathrm{.}01\%,$ compounded daily

BoA Featured $7-$month CD: APR $4\mathrm{.}89\%,$ compounded monthly

BoA Fixed Term $28-89$ Day CD: APR $0\mathrm{.}03\%,$ compounded monthly

For each of the above accounts, find the amount of money in the account and interest earned after

$7$ months, assuming an initial deposit of $$1,000.$ As CDs auto$-$renew at the end of their term, assume

that you did a fixed$-$term $30-$day CD that was renewed multiple times. Let $7$ months $=210$ days and

use $1$ month $=30$ days.

There are multiple things to consider when choosing an account, one of which is liquidity. What

account would you choose? Why?

You noticed on the listed APRs on the Bank of America document that there is also an APY listed. APY,

Annual Percentage Yield, is the equivalent simple interest rate you would need to earn the same interest

amount without compounding.

The APY on the $7-$month CD is $5\mathrm{.}00\%.$ Find the simple interest earned on $$1,000$ in $7$ months. Is it

the same as the compound?