Investment A offers a 8% return compounded semiannually, and investment B offers a 7.81% return compounded continuously. If you invest $1000, which investment will have a higher rate of return over a 4-yr period?

Investment A offers a 8% return compounded semiannually, and investment B offers a 7.81% return compounded continuously. If you invest $1000, which investment will have a higher rate of return over a 4-yr period?

College Algebra

1st Edition

ISBN:9781938168383

Author:Jay Abramson

Publisher:Jay Abramson

Chapter6: Exponential And Logarithmic Functions

Section: Chapter Questions

Problem 4PT: An investment account was opened with aninitial deposit of 9,600 and earns 7.4 interest,compounded...

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Investment A offers a 8% return compounded
semiannually, and investment B offers a 7.81%
return compounded continuously. If you invest
$1000, which investment will have a higher
rate of return over a 4-yr period?

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