SAVINGS Amir is trying to decide between two savings account plans at two different banks. He finds that Bonk A offers a quarterly compounded interest rate of 0.95%, while Bank B oflers 3.75% interest compounded annually Which is the better plan? Explain. elect Chaice has a better plan

Question

SAVINGS Amir is trying to decide between two savings account plans at two different banks. He finds that Bonk A offers a quarterly compounded interest rate of 0.95%, while Bank B oflers 3.75% interest compounded annually Which is the better plan? Explain. elect Chaice has a better plan

Bank A has a quarterty intecest rate ofl
Select ecChoicev9
Bank Bhes a quarterly interest rate of
Select Choice v%
Select
Choice has a higher ouarterty interest rate
Need belo

Answer 1

AAAaannndd the bot gets it wrong yet again!

A: 1.0095^4 = 1.0385
B: 1.0375
so A is better than B

Answer 2

Bank B has the better plan because it offers a higher interest rate of 3.75% compounded annually, which is higher than the 0.95% offered by Bank A. This means that Bank B will provide more money in interest over time, making it the better plan.