Gregory may choose between two accounts in which to invest $5000. Account A offers 2.3% annual interest compounded monthly. Acco
unt B offers continuous compound interest. Greg plans to leave his investment untouched (no further deposits and no withdrawals) for 10 years.
need help calculating account b's balance
need help calculating account b's balance
1 answer:
Answer:
<h2>Gregory should take the continuos compound interest.</h2>Step-by-step explanation:
If we calculate the Amount with both type of interest, we have:
Annual interest compounded monthly:
This means that with this interest, after 10 years he will get $6,291.61.
Continuous compound interest:
Meaning that Gregory will get 6,293.
As you can see, it's not a big difference, only $2 more, but it's still better.
<em>(Image attached are formulas with the variables meanings)</em>
You might be interested in
Answer:
Step-by-step explanation:
In this problem, we have the following linear equations:
y=3x+5
y=ax+b
We know that a linear equation is an equation for a line. In a system of linear equations, two or more equations work together.
1. What values for a and b make the system inconsistent?
A system is inconsistent if and only if the lines are parallel in which case the system has no solution. This is illustrated in the first Figure bellow. Two lines are parallel if they share the same slope. So, the system is inconsistent for:
a=3
for any value of b
2. What values for a and b make the system consistent and dependent?
A system is consistent if and only if the lines are the same in which case the system has infinitely many solutions. This is illustrated in the second Figure bellow. So, the system is consistent and dependent for:
a=3 and b=5
