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Chan has $800 and is trying to decide which option will help him earn the most interest over 5 years. His Uncle Jin has offered
Chan has $800 and is trying to decide which option will help him earn the most interest over 5 years. His Uncle Jin has offered to give him a simple interest rate of 4% annually and his bank will give him an interest rate of 3% compounded annually. Which one should Chan choose and how much will the future value of his $800 be at the end of 5 years? a. Chan should choose his Uncle Jin and the future value of his $800 will be $973.32. b. Chan should choose the bank and the future value of his $800 will be $973.32 c. Chan should choose his Uncle Jin and the future value of his $800 will be $927.42. d. Chan should choose the bank and the future value of his $800 will be $927.42 e. Chan should choose his Uncle Jin and the future value of his $800 will be $960
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