Question

help please

Answer 1

3. Your fixed expenses are $1,500.45/month. Your emergency fund has 4 month’s worth of coverage. You invest half in a savings account with an interest rate of 3.15% APR and the other half in a 45-day CD with an interest rate of 4.65% APR. How much is your total interest in 45 days?

4. If you had invested only 1 month’s worth of the emergency fund in the saving account at a 3.15% APR and the remainder in the 45-day CD at a 4.65% APR, what is the difference in the interest earned in 45 days when compared with question #3?