Asked by Janell

Adam wants to invest $80,000 in a pension plan. One investment offers 7% compounded quarterly. Another offers 6.5% compounded continuously. Which investment will earn more interest in 10 years?

Answers

Answered by Steve
compare
(1+.07/4)^4
and
e^0.065

That gives the interest in one year. The greater here will also be greater in 10 years.
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