Question

Help please? It's my last question for the night!

Glen is comparing three investment accounts offering different rates.

Account A: APR of 5.80% compounding monthly
Account B: APR of 5.90% compounding quarterly
Account C: APR of 5.85% compounding daily

Which account will give Glen at least a 6% annual yield?

Account A

Account B

Account C

Account B and Account C

Answer 1

http://openstudy.com/study#/updates/5192fe22e4b0e9fd5329c180
this could help, it's the same question

Answer 2

I looked at that already, couldn't figure it out :/

Answer 3

Helpp :/

Answer 4

ok we can do this

Answer 5

alrighty keep talkin'

Answer 6

for the first one , compute
\[(1+\frac{.058}{4})^4-1\]

Answer 7

i get this
http://www.wolframalpha.com/input/?i=%281%2B.058%2F4%29^4-1
or \(0.59\) which is just under \(6\%\)

Answer 8

oh damn i made a mistake, it is MONTHLY not quarterly
let me start again

Answer 9

I got 6% too

Answer 10

..awk lol same mistake

Answer 11

\[(1+\frac{.058}{12})^{12}-1\]

Answer 12

http://www.wolframalpha.com/input/?i=%281%2B.058%2F12%29^%2812%29-1
still just under \(6\%\) lets try the next one

Answer 13

\[(1+\frac{.059}{4})^4-1\]

Answer 14

I feel like it's B and C

Answer 15

lets try C

Answer 16

\[(1+\frac{.0585}{365})^{365}-1\]

Answer 17

yeah that is the right one
http://www.wolframalpha.com/input/?i=%281%2B.0585%2F365%29^%28365%29-1

it is just over \(6\%\)

Answer 18

Oh! so it's both B and C for sure?

Answer 19

no B is just a bit too small

Answer 20

ohh so just C?

Answer 21

ok i lied again
let me scroll up and see if i am doing it right
now i got B as a good answer

Answer 22

so it has to be both right?

Answer 23

http://www.wolframalpha.com/input/?i=%281%2B.059%2F4%29^%284%29-1
yeah B is good too

Answer 24

both B and C

Answer 25

yes! thank you