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 Mar 26, 2020
 #1
avatar+1970 
-1

Sue: (0.024)^3

Bill: (0.034)^3

 

The exponent represents the "years" and the number represents the interest.

 

Hope this helped!

 Mar 26, 2020
 #2
avatar+111330 
+1

a)  Amount of interest  after  three  years  in both cases

 

Sue  interest                                                                           Bill   interest

 

2300(1+.024)^3  - 2300 =                                      1800 ( 1 + .034)^3  - 1800  =

 

169.61 pounds                                                               189.91  pounds

 

 

b)  Interst earned  by Bill in the  2nd situation

 

Interest  in first  two years  =   1800 ( 1 + .034)^2  - 1800  =  124.48 pounds

 

Interest earned in  the last year  =   ( 1800 + 124.48) (1 + .04)  -  ( 1800 + 124.48)  = 76.98 pounds

 

Total interest earned      =  124.48 +76.98   = 201.46  pounds

 

Bill  definitely gets  the  most interest  in this situation

 

 

cool cool cool

 Mar 26, 2020

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