Friday

August 29, 2014

August 29, 2014

Posted by **Sabrina** on Monday, April 25, 2011 at 4:50pm.

6.2% simple interest

6.1% compounded annually

5.58% compounded semiannually

5.75% compounded quarterly

Which account(s) should he choose if he wants to invest the smallest amount of money now?

- math -
**Reiny**, Monday, April 25, 2011 at 5:55pmconsider the amount of $1 at the end of 2 years

at 6.2% simple ---- 1 + (1)(.062)(2) = $1.124

at 6.1 comp. annually ---- (1.061)^2 = $1.1257

at 5.58% com. semi --- (1.0279)^4 = $1.11636

at 5.75% comp. quarterly -- (1.014375)^8 = 1.12096

so what do you think?

**Related Questions**

math - Jim wants to deposit money in an account to save for a new stereo system ...

College level math - Suppose you deposit $100 in an account that earns 0.5% each...

Interest - In 6 years, Jim wants to have $47,230 to buy a new car. (a) How much ...

Math - Suppose you deposit $400 in an account that earn 0.75 percent each ...

Math - Suppose you deposit $400 in an account that earns 0.75 percent each ...

math - Zaineb is deciding whether to buy a stereo at $695 plus GST and PST now, ...

math - Suppose you start saving today for a $30,000 down payment that you plan ...

calc2 - At what constant, continuous annual rate should you deposit money into ...

Personal Finance - Mary just deposited $33,000 in an account paying 7% interest...

Finance - You are 45 years of age and your asporation is to retire in 17 years ...