Answer:
Connor would have $83.37 more than Henry.
Step-by-step explanation:
Connor:
Initial investment= $8,000
Interest rate= 8.2% = 0.082/12= 0.00683
Number of periods= 12*5= 60 months
Henry:
Initial investment= $8,000
Interest rate= 8% = 0.08/365= 0.00022
Number of periods= 365*5= 1,825 days
<u>To calculate the future value, we need to use the following formula on each investment:</u>
FV= PV*(1+i)^n
Connor:
FV= 8,000*(1.00683^60)
FV= $12,035.35
Henry:
FV= 8,000*(1.00022^1,825)
FV= $11,951.98
Difference= 12,035.35 - 11,951.98= $83.37
Connor would have $83.37 more than Henry.
