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Joe has 5000$ to put into an investment account for 8 years.He has a choice of two different accounts both earning 2.95% annual interest.Account X compounds the interest each week(52 weeks a year) and account Y compounds the interests each month.Obviously account X will earn mora interest over 8 year period.How much more interest does accouunt X earn over the 8 years compared to account Y?

 Sep 21, 2015
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Account X will have $6,330.45 in 8 years compounded weekly.

Account Y will have $6,329.04 in 8 years compounded monthly.

And the difference is $6,330.45 - $6,329.04=$1.41. Pretty measly, yea?

 Sep 21, 2015

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