Compounded monthly, Chris has $16,000 that she wants to

Compounded monthly

Reference no: EM131023511

Chris has $16,000 that she wants to invest for 1 year. She can invest it in Bank X and earn 5.50 percent simple interest. Or, she can open an account at Bank Y and earn 5.39 percent interest, compounded monthly. If Chris decides to invest at Bank X, she will:

earn $17.60 more than if she had invested with Bank Y.

earn the same amount as if she had invested with Bank Y.

have a total balance of $16,800 in her account after 1 year.

have a total balance of $16,862.40 in her account after 1 year.

earn $4.03 less than if she had invested with Bank Y.

Reference no: EM131023511

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