Problem 4-1 Simple Interest versus Compound Interest [LO 1]

First City Bank pays 5 percent simple interest on its savings account balances, whereas Second City Bank pays 5 percent interest compounded annually.

Required:

If you made a deposit of $17,500 in each bank, how much more money would you earn from your Second City Bank account at the end of 8 years?(Do not round intermediate calculations and round your answer to 2 decimal places (e.g., 32.16).)