Answer:
B. 2.975% compounded quarterly
Step-by-step explanation:
We have been given
p = 10000
t = 10 years
Compound interest formula is :
Checking option A . 2.89% compounded monthly
So, n = 12
r = 0.0289
=>
A = $13345.70
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Checking option B. 2.975% compounded quarterly
So, n = 4
r =0.02975
=>
A = $13450.10
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Checking option C. 2.99% compounded annually
So, n = 1
r = 0.0299
A = $13426.10
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Checking option D. 3.25% simple interest
Simple interest formula is :
r = 0.0325
t = 10
I = $3250
A =
A = $13250
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Comparing all we can see that option B gives the most money. So, option B is correct.