Two babies are born and their parents are planning to save for their education. The Smith Family invests $3000 into an investment account that pays 8%/a compounded annually and the Wu family invests $2500 into an account that pays 9%/a compounded semi – annually. Equations modelling the amount of each family's investment, A , where t is the amount of years is shown below. The Smiths As = 3000(1 + 0.08) 2t Aw = 2500 (1+.02)** The Wus 0.09 %3D 2. Describe the significance of each numerical value in the equations above. Algebraically determine the number of years, to the nearest tenth, that it will take for the value of the investments of the two families to be the same. Ain 0.7 HB

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