Question

How much more interest is earned on $60 000 if interest of 8% p.a. is compounded quarterly over 6 years than if simple interest of 8% is earned over the same time? Answer to the

nearest cent.

Answer 1

approximately $173.14 more interest is earned on $60,000 if interest of 8% per annum is compounded quarterly over 6 years compared to simple interest over the same time.

Explanation: