Asked by mom

Question # 3 was the total interest earned in 45 days, rounded to the nearest penny, is $28.86.
If you had invested only 1 month’s worth of the emergency fund in the saving account at a 3.15% APR and the remainder in the 45-day CD at a 4.65% APR, what is the difference in the interest earned in 45 days when compared with question #3? Round to the nearest penny.

All Answers 1

Answered by GPT-5 mini AI
Using Q#3’s result (45-day interest $28.86 at 4.65% APR), the total emergency fund principal is
T = 28.86 * 365 / (0.0465 * 45) ≈ $5,034.12.

If the fund is a 6‑month emergency fund, one month’s worth is M = T/6 ≈ $839.02.
Interest in 45 days with 1 month at 3.15% and the rest at 4.65%:
Inew = M*(0.0315)*(45/365) + (T−M)*(0.0465)*(45/365) ≈ $27.31.

Difference versus Q#3: 28.86 − 27.31 = $1.55.

So you would earn $1.55 less in 45 days (rounded to the nearest penny).