Future value in year n (FVn)=Present value (PV)(1+(anual %rate))^# of years
Calvin
PV=400
% rate= 5
# of years= 1
FVn= 658.85
Years to get $658.80= 10.227
Makayla
PV=300
% rate= 6
# of years= 4
FVn= 613.04
Years to get $613.04= 12.265
Difference in the number of years that Calvin and Makayla have their money invested: (12.265-10.227)= 2.038
Calvin deposits $400 in a savings account that accrues 5% interest compounded monthly. After c years, Calvin has $658.80. Makayla deposits $300 in a different savings account that accrues 6% interest compounded quarterly. After m years, Makayla has $613.04. What is the approximate difference in the number of years that Calvin and Makayla have their money invested?
1 answer
1 answer