Simple Interest versus Compound Interest [LO1] First City Bank pays 7.5 percent simple interest on its savings account balances, whereas Second City Bank pays 7.5 percent interest compounded annually. If you made a deposit of $8,600 in each bank, how much more money would you earn from your Second City Bank account at the end of eight years? 3. Calculating Present Values [L.O2] For each of the following, compute the present valuc: Calculating Interest Kates [1.0)3] Solve for the unknown interest rate in each of the following: 7. Calculating the Number of Periods [LO4] At 4.3 percent interest, how long does it take to double your money? To quadruple it