Question

You have $10,000 to invest and want to keep your money invested for 10years. You are considering the following investment options. Choose the investment option that will earn you the most money. A. 2.89% compounded monthly B. 2.975% compounded quarterly C. 2.99% compounded annually D. 3.25% simple interest

Answer 1

14'802.44 because 10'000 times 1+0.04 is 14'802.44

Answer 2

A=10,000×(1+0.0289÷12)^(12×10)
A=13,346.28

A=10,000×(1+0.02975÷4)^(4×10)
A=13,450.07

A=10,000×(1+0.0299)^(10)
A=13,426.12

A=10,000×(1+0.0325×10)
A=13,250

So the answer is b