Abbie is in high school and saves money from her afterschool job to buy a car after she graduates from college. She wants a new
car but knows it will cost more than $20,000. By her freshman year, she has saved $12,000. Which of the following would most help her have the most money by graduation? A checking account A compound interest account A simple interest account A high risk investment
Abbie is in high school and saves money from her afterschool job to buy a car after she graduates from college. She wants a new car but knows it will cost more than $20,000. By her freshman year, she has saved $12,000. Which of the following would most help her have the most money by graduation?
The correct answer is letter B: A compound interest account.
If you’ve got money in a savings account, your money will grow due to compound interest. Interest is money the bank paid to you as a reward it is a percentage and generally expressed per annum (interest is proportional to the amount of money you have deposited).
Compound interest is a rate that is applied to the principal and any prior interest earned (that's to say interest on interest). So over a period of time, it is very profitable.
Answer: Most Cherokees live in close-knit communities in eastern Oklahoma or the Great Smoky Mountains in North Carolina, but a considerable number live throughout North America and in cities such as New York, Chicago, San Francisco, and Toronto.
