Patrick and Brooklyn are making decisions about their bank accounts. Patrick wants to deposit $300 as a principal amount, with an interest of 3% compounded quarterly. Brooklyn wants to deposit $300 as the principal amount, with an interest of 5% compounded monthly. Explain which method results in more money after 2 years. Show all work.

Brooklyn's method results in more money after 2 years

Step-by-step explanation:

A=p(1+r/n)^nt

Where,

P=principal

r=interest rate

t=time

n=number of periods

Patrick

P=$300

r=3%=0.03

t=2years

n=4

A=p(1+r/n)^nt

=300(1+0.03/4)^4*2

=300(1+0.0075)^8

=300(1.0075)^8

=300(1.0616)

=318.48

A=$318.48

Interest=318.48-300

=$18.48

Brooklyn

P=$300

r=5%

t=2

n=12

A=p(1+r/n)^nt

=300(1+0.05/12)^12*2

=300(1+0.0042)^24

=300(1.0042)^24

=300(1.1058)

=331.74

A=$331.74

Interest=331.74-300

=$31.74

Brooklyn's method results in more money after 2 years

hiking down a winding trail.

step-by-step explanation: