Oliver makes deposits into two separate savings accounts: • Account 1: $5000.00; 4% annual simple interest Account 2: $5000.00; 4% annual compound interest Assuming he makes no additional deposits or withdrawals, find the interest earned and the total value of each account after 60 months. Account 1 Account 2 Interest: Interest: Total value: Total value:

College Algebra
1st Edition
ISBN:9781938168383
Author:Jay Abramson
Publisher:Jay Abramson
Chapter9: Sequences, Probability And Counting Theory
Section9.4: Series And Their Notations
Problem 62SE: Rachael deposits $1500 into a retirement fund each year. The fund earns 8.2% annual interest,...
icon
Related questions
icon
Concept explainers
Topic Video
Question
Oliver makes deposits into two separate savings accounts:
• Account 1: $5000.00; 4% annual simple interest
• Account 2: $5000.00; 4% annual compound interest
Assuming he makes no additional deposits or withdrawals,
find the interest earned and the total value of each account
after 60 months.
Account 1
Account 2
Interest:
Interest:
Total value:
Total value:
:: $1200.00
:: $1000.00
:: $6083.26
:: $6200.00
:: $6000.00
:: $5259.81
:: $1083.26
:: $259.81
Transcribed Image Text:Oliver makes deposits into two separate savings accounts: • Account 1: $5000.00; 4% annual simple interest • Account 2: $5000.00; 4% annual compound interest Assuming he makes no additional deposits or withdrawals, find the interest earned and the total value of each account after 60 months. Account 1 Account 2 Interest: Interest: Total value: Total value: :: $1200.00 :: $1000.00 :: $6083.26 :: $6200.00 :: $6000.00 :: $5259.81 :: $1083.26 :: $259.81
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps with 2 images

Blurred answer
Knowledge Booster
Application of Algebra
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, algebra and related others by exploring similar questions and additional content below.
Recommended textbooks for you
College Algebra
College Algebra
Algebra
ISBN:
9781938168383
Author:
Jay Abramson
Publisher:
OpenStax
Algebra and Trigonometry (MindTap Course List)
Algebra and Trigonometry (MindTap Course List)
Algebra
ISBN:
9781305071742
Author:
James Stewart, Lothar Redlin, Saleem Watson
Publisher:
Cengage Learning
Intermediate Algebra
Intermediate Algebra
Algebra
ISBN:
9781285195728
Author:
Jerome E. Kaufmann, Karen L. Schwitters
Publisher:
Cengage Learning
Algebra for College Students
Algebra for College Students
Algebra
ISBN:
9781285195780
Author:
Jerome E. Kaufmann, Karen L. Schwitters
Publisher:
Cengage Learning