Question

Korina receives $12,000 as a high school graduation gift. She would like to save the money for a down payment on a new house after she graduates from college. Which option would earn her the most money toward that goal?

Answer 1

To answer the question above if what option would Korina choose to earn more income towards the goal of buying a new house after she graduates college; with $12,000 she can start up a small buy and sell business and invest in stock market or mutual funds for passive income monthly/yearly.

Answer 2

Answer:

The option that would earn her the most money toward that goal is to Use a savings account offering compound interest.

Explanation:

A savings account with compound interest will multiply the interests for the specific periods that the money remains in the account, besides it can be set to a specific kind of periods, (months, weeks, years) so Korina can keep the money in the account until the time she graduates from college with an increment in the amount according to the interest range of the bank.