If your goal was to have the largest amount of money in your bank account in two years, which of the following would you choose? (Assume that the beginning deposit and all interest earnings remain in the account for the full two years.)  a beginning deposit of $1,010 earning, 3% per      a beginning deposit of $950, earning 5% per year      a beginning deposit of $930, earning 8% per year      a beginning deposit of $1,000, earning 4% per year

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Asked Sep 29, 2019
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If your goal was to have the largest amount of money in your bank account in two years, which of the following would you choose? (Assume that the beginning deposit and all interest earnings remain in the account for the full two years.)

  
a beginning deposit of $1,010 earning, 3% per
 
 
 
 
  
a beginning deposit of $950, earning 5% per year
 
 
 
 
  
a beginning deposit of $930, earning 8% per year
 
 
 
 
  
a beginning deposit of $1,000, earning 4% per year
 
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Expert Answer

Step 1

The individual has to invest a certain amount for a period of two, which of the f...

Casel
A S1010(1+0.03)
A $1060.9
Case2
A $950(1+0.05)
A $1102.5
Case3
A S930(1+0.08)
A $1166.4
Case4
A $1000 (1+0.04)
A $1081.6
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Casel A S1010(1+0.03) A $1060.9 Case2 A $950(1+0.05) A $1102.5 Case3 A S930(1+0.08) A $1166.4 Case4 A $1000 (1+0.04) A $1081.6

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