Question
Choose the best answer to the following question. Suppose you deposited $90 per month into a savings plan into a savings plan for 8 years
Choose the best answer to the following question.
Suppose you deposited $90 per month into a savings plan into a savings plan for 8 years and at the end of that period your balance was $19,000. What was the amount you earned in interest?
Choose the correct answer below:
(A) It was $20,720. Calculate the amount deposited over 8 years and then add it to the balance of $19,000
(B) It was 20,720. Multiply the balance of $19,000 by the number of years, 8
(C) It is impossible to compute without knowing the APR. To find the correct answer, multiply each $90 deposit by the APR, and then multiply the product by the number of months in 8 years
(D) It was $10,360. Divide the balance of $19,000 by the number of years, 8.
(E) It was $10,360. Calculate the amount deposited over 8 years and then subtract it from the balance of $19,000.
(F) It is impossible to compute without knowing the APR. To find the correct answer, divide the number of payments by the APR.
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