Question

For their wedding, Rajai and Carly received $1000. Their financial advisor laid out 4 different options for them to invest in. Assuming that each option continues to grow according to the pattern shown below, what would be their best investment for when they retire in 40 years?

Answer 1

Their best investment when they retire in 40 years would be option B.

Explanation:

Ragai and Carly invest the $1000 received for their wedding for 40 years.

From the diagram,

In option A, the initial investment do not increase at a constant rate yearly.

In option B, the amount invested increase by $75 yearly.

In option C, the yearly increase does not have a steady value.

In option D, the amount invested increases by a n + consecutive odd values yearly. Where n is the increase of the previous year.

Their best investment when they retire in 40 years would be option B because it would yield the highest profit.