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Mathematics, 08.06.2021 23:30 paige1616
With compounding, the interest on your sarings also earns interest throughout the year. The more
frequent the compounding, the more interest you eam.
a. Calculate the simple interest for a year on $5000 invested at 4.5%.
b. Calculate the compound interest on $5000 invested at 4.5º when the interest is compounded each
quarter
c. How does compounding interest benefit a saver?
ch
BI
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Answers: 2
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With compounding, the interest on your sarings also earns interest throughout the year. The more
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