Mauro has $500 to invest in one of two accounts for 3 years. Account 1 earns 1.2% interest compounded monthly. Account 2 earns 1.3% interest compounded semiannually. Which account has a higher return, and how much? Select the answer that is completely correct. Account 1 earns $63.86 more than Account 2. Account 1 earns $64.13 more than Account 2. Account 2 earns $1.56 more than Account 1. Account 2 earns $1.50 more than Account 1.
Mauro has $500 to invest in one of two accounts for 3 years. Account 1 earns 1.2% interest compounded monthly. Account 2 earns 1.3% interest compounded semiannually. Which account has a higher return, and how much? Select the answer that is completely correct. Account 1 earns $63.86 more than Account 2. Account 1 earns $64.13 more than Account 2. Account 2 earns $1.56 more than Account 1. Account 2 earns $1.50 more than Account 1.
Chapter9: Sequences, Probability And Counting Theory
Section: Chapter Questions
Problem 15PT: Rachael deposits $3,600 into a retirement fund each year. The fund earns 7.5% annual interest,...
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Transcribed Image Text:Mauro has $500 to invest in one of two accounts for 3 years.
Account 1 earns 1.2% interest compounded monthly.
Account 2 earns 1.3% interest compounded semiannually.
Which account has a higher return, and how much?
Select the answer that is completely correct.
Account 1 earns $63.86 more than Account 2.
Account 1 earns $64.13 more than Account 2.
Account 2 earns $1.56 more than Account 1.
Account 2 earns $1.50 more than Account 1.
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