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3 years ago

HELP PLEASE, NO FILES OR LINKS PLEASE

Mathematics

1 answer:

Ne4ueva [31]3 years ago

4 0

Answer:

Step-by-step explanation:

I am to determine the future value of Thomas' deposit with annual compounding

The formula for calculating future value:

FV = P (1 + r)^n

FV = Future value

P = Present value

R = interest rate

N = number of years

840 x (1.075)^5 = 1205.93

I am to determine the future value of Sherill's deposit in 5 years using simple interest

The amount that would be in the account = amount deposited + interest earned on deposit

interest earned on deposit can be determined by determining the simple interest

Simple interest = amount deposited x time x interest rate

1250 x 0.069 x 5 = 431.25

Amount that would be in her account after 5 years = 1250 + 431.25 = 1681.25

Sheril's money is higher by - 1681.25 - 1205.93 = 475.32

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