LaShea would like to invest her $100 in birthday money. Which option will give her the most money at the end of the investment period?
Answers
Complete Question :- LaShea would like to invest her $100 in birthday money. Which option should she choose so that she will have the most money ?
A) 1 year at 8 percent
B) 1.5 years at 7 percent
C) 2 years at 6.5 percent
D) 3 years at 4 percent .
Solution :-
→ Principal = $100
→ Rate = Let R % per annum.
→ Time = Let T years.
So,
→ Interest LaShea gets = (P * R * T) / 100
→ interest = (100 * RT) / 100
→ interest = RT .
we can conclude that, more money depends on the multiple of Rate and time.
So,
checking given options now :-
A) 1 year at 8 % = 1 * 8 = $8
B) 1.5 years at 7% = 1.5 * 7 = $10.5
C) 2 years at 6.5% = 2 * 6.5 = $13.
D) 3 years at 4 % = 3 * 4 = $12.
Therefore, she get highest interest of $13 with rate 6.5% and time 2 years.
Hence, C option will give her the most money at the end of the investment period .
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Answer:
Step-by-step explanation:
→ Principal = $100
→ Rate = Let R % per annum.
→ Time = Let T years.
So,
→ Interest LaShea gets = (P * R * T) / 100
→ interest = (100 * RT) / 100
→ interest = RT .
we can conclude that, more money depends on the multiple of Rate and time.
So,
checking given options now :-
A) 1 year at 8 % = 1 * 8 = $8
B) 1.5 years at 7% = 1.5 * 7 = $10.5
C) 2 years at 6.5% = 2 * 6.5 = $13.
D) 3 years at 4 % = 3 * 4 = $12.
Therefore, she get highest interest of $13 with rate 6.5% and time 2 years.
Hence, C option will give her the most money at the end of the investment period .