Which savings account will earn the most interest?
A $5,000 at 4 percent interest compounded for four years
B. $10,000 at 2 percent interesi compounded for four years
C. $10,000 at 2 percent simple interest for four years
D. $5,000 at 4 percent simple interest for four years

Simple interest rate is the interest that is paid only on the principal portion of a loan. Compound interest is when both the amount deposited and the interest already earn increase in value when interest is paid.

Thus, when an account is compounded and the other earns a simple interest, the account that earns a compound interest would have a higher value than the account that earns a simple interest.

To learn more about compound interest, please check: https://brainly.com/question/26367706

shawtes shawtes · Answer 2 · 2022-05-31T06:29:00+02:00

shawtes shawtes

31-05-2022

Answer:

The answer is A. $5,000 at 4 percent interest compounded for four years.

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Which savings account will earn the most interest? A $5,000 at 4 percent interest compounded for four years B. $10,000 at 2 percent interesi compounded for four years C. $10,000 at 2 percent simple interest for four years D. $5,000 at 4 percent simple interest for four years

Respuesta :

What is simple interest and compound interest?

Otras preguntas

Which savings account will earn the most interest?
A $5,000 at 4 percent interest compounded for four years
B. $10,000 at 2 percent interesi compounded for four years
C. $10,000 at 2 percent simple interest for four years
D. $5,000 at 4 percent simple interest for four years