Question

Use the compound interest formulas A = Pert and A = P(1+r/n)^nt to solve.

Suppose that you have $11,000 to invest. Which investment yields the greater return over 10 years: 6.25% compounded continuously or 6.3% compounded semiannually?
A. $11,000 invested at 6.25% compounded continuously over 10 years yields the greater return.
B. Both investment plans yield the same return.
C. $11,000 invested at 6.3% compounded semiannually over 10 years yields the greater return.