Consider a $7,500 investment. Without calculating the amount of accrued interest or the final amount of the investment, compare simple interest earning and compound interest earning, compounded monthly, both at a 10% interest rate over the period of 15 years to determine which interest earning type offers more financial gains.(1 point)
Responses
Without calculating the amount of accrued interest or the final amount of the investment, it is not possible to determine which interest earning type offers more financial gains.
Without calculating the amount of accrued interest or the final amount of the investment, it is not possible to determine which interest earning type offers more financial gains.
Simple interest at a 10% interest rate over 15 years offers more financial gains.
Simple interest at a 10% interest rate over 15 years offers more financial gains.
Compound interest at a 10% interest rate over 15 years offers more financial gains.
Compound interest at a 10% interest rate over 15 years offers more financial gains.
Both interest earning types offer the same amount of financial gains.