Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You invest an amount of $ 1 5 , 0 0 0 in account A that pays simple interest at a rate of 1 2

You invest an amount of $15,000 in account A that pays simple interest at a rate of 12.14 percent per year. You also invest the same amount in account B that pays compound interest. What is the difference in the amounts of money in the two accounts after 39 years?
$86,019.00
$1,293,436.88
$1,308,436.88
$1,222,417.88
None of these options are correct
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Liquidity Risk Management In Banks Economic And Regulatory Issues

Authors: Roberto Ruozi, Pierpaolo Ferrari

1st Edition

3642295800, 978-3642295805

More Books

Students also viewed these Finance questions

Question

Evaluate the expression. 1

Answered: 1 week ago

Question

Compare different frameworks for HRD evaluation

Answered: 1 week ago