Question

Roseanne has $500 that she wants to invest. She has the option to invest it at Capital Bank where

the money will earn 5% interest compounded annually or Central Bank that pays 5% simple
interest.
If she leaves the money in the bank for 5 years how much more in dollars and cents would she
earn in interest at Capital Bank than she would earn at Central Bank?
pls help

Answer 1

Answer: 638.14

Step-by-step explanation:

the equation is a=(1+r)^t

when you fill that u in u get a=(1+.05)^5 which equals 638.14