Asked by Sue

Suppose that you have $ 5,000 to invest. Which investment yields the greater return over 9 ​years: 8.75​% compounded continuously or 8.9​% compounded semiannually?

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A) $ 5,000 invested at 8.9​% compounded semiannually over 9 years yields the greater return.

B) Both investment plans yield the same return.

C) $5,000 invested at 8.75​% compounded continuously over 9 years yields the greater return.

Answers

Answered by Reiny
The $5,000 don't matter.
All you have to do is compare
(1 + ..089/2)^2 with e^(.0875)
Answered by Anonymous
ok thx
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