P553 Rate of return and investment choiceClare Jaccard has $5,000 to invest. Because she is only 25 years old, she is not concerned about the length of the investments life. What she is sensitive to is the rate of return she will earn on the investment. With the help of her financial advisor, Clare has isolated four equally risky investments, each providing a single amount at the end of its life, as shown in the following table. All the investments require an initial $5,000 payment.

Investment	Single amount	Investment life (years)
A	$ 8,400	6
B	15,900	15
C	7,600	4
D	13,000	10

Calculate, to the nearest 1%, the rate of return on each of the four investments available to Clare.

Which investment would you recommend to Clare, given her goal of maximizing the rate of return?

Part a (use table method):
	Single	Single	Life of	Approximate
Investment	Investment	Return	Investment	Interest Rate
A	5,000	8,400	6
B	5,000	15,900	15
C	5,000	7,600	4
D	5,000	13,000	10
Part b: