At The Age Of 18, Albert Inherits $100,000 From His Grandfather. One Bank Offers To Invest This Money At 10% For 5 Years. A Second Bank Offers A Rate Of 8% For 7 Years. Which Investment Will Yield The Most Money?


2 Answers

xiao guguai Profile
xiao guguai answered
The first: P= 100,000x(1+10%)^5=161,051, the second: P=100,000x (1+8%)^7=171328.4, so you should choose the second.

Answer Question