Assume that you have x dollars saved (you choose a specific dollar amount) and would like to purchase a used car in two years.
·Calculate the interest earned over the two-year span on your chosen dollar amount at the 5.50% interest rate, compounded daily, for a oneyear CD. Show your work.
Calculate how much you will have saved with this account in two years. Show your work.
Investigate bank interest rates available in your area for a one year CD.
Calculate how much money you will have in two years if the interest is compounded monthly or continuously. Show
How did the change in rates affect your purchasing power?
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- Submitted On 13 Jun, 2017 08:33:22