Account A and Account B both have a principal of $1,000 and an annual interest rate of 4%. No additional deposits or withdrawals

Question

2 years ago

7

Account A and Account B both have a principal of $1,000 and an annual interest rate of 4%. No additional deposits or withdrawals

are made. Account A earns simple interest. Account B earns interest compounded annually. Compare the amounts in the two accounts after 20 years. Which earns more interest? How much more?

Mathematics

1 answer:

postnew [5] · Answer 1 · 2022-07-05T23:04:44+03:00

postnew [5]2 years ago

4 0

Account A
Total-$1800
Interest-$800

Account B-
Total-$2191.12
Interest-$1191.12

Account B by $391.12