Jing, a recent engineering graduate, never took engineering economics. When she graduated, she was hired by a prominent engineering firm. The earnings from this job allowed her to deposit $1000 each quarter into a savings account. There were two banks that offered savings accounts in her town (a small town!). The first bank was offering 5.0% interest compounded continuously. The second bank offered 5.125% compounded monthly. Jing decided to deposit in the first bank because it offered continuous compounding. Did she make the right decision?

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A:

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