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-BARSIC- [3]
2 years ago
8

Complete the​ table, for the following​ investments, which shows the performance​ (interest and​ balance) over a​ 5-year period.

Mathematics
1 answer:
sergiy2304 [10]2 years ago
5 0

Answer:

After 5 years of investment, Suzanne will have $ 4,400 in her account, while Derek will have $ 4,416.32 in his account.

Step-by-step explanation:

Since Suzanne deposits $ 4000 in an account that earns simple interest at an annual rate of 2%, and Derek deposits $ 4000 in an account that earns compound interest at an annual rate of 2% and is compounded annually., Both for a period of 5 years, to determine how much money each one will have in their account after 5 years, the following calculation must be made:

Suzanne:

((4,000 x 0.02) x 5) + 4,000 = X

(80 x 5) + 4,000 = X

400 + 4,000 = X

4,400 = X

Derek:

4,000 x (1 + 0.02 / 1) ^ 5x1 = X

4,000 x 1.02 ^ 5 = X

4,416.32 = X

Thus, after 5 years of investment, Suzanne will have $ 4,400 in her account, while Derek will have $ 4,416.32 in her account.

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