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You want to invest $ 8 0 0 at your local bank for 1 2 years. The banker gives you two investment options. Option 1
You want to invest $ at your local bank for years. The banker gives you two investment options. Option : You can invest in a special account that pays you interest each year. However, the interest in this account will not compound. Instead, each year the interest payment is put into a special account which collects no further interest and cannot be reinvested anywhere until the end of the years. Option : You can invest in a regular bank account that pays you interest each year with compounding interest. That is each year the interest you earn gets deposited in your bank account and earns interest until the end of the years.Which option should you select and why?
Question options:
Select Option : it earns you $ more than Option
Select Option : it earns you $ more than Option
Select Option : it earns you $ more than Option
Select Option : it earns you $ more than Option
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