lizzy6629
07.05.2021 •
Mathematics
Bella received $1,200 after winning a national mathematics competition.
She plans to invest this money for 5 years.
Her bank offers 2 different saving options:
Option A: Customers receive a simple interest rate of 7.8%.
How much money will be in Bella's account after 5 years if she chooses option A?
$
Option B: Customers receive compound interest of 7.2%.
How much money will be in Bella's account after 5 years if she chooses option B?
$
If you are a customer adviser, which option would you recommend to Bella?
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