(h) daily
\( =5835.45 \)
\( 5000\left(1+\frac{6021}{365}\right)^{365 x 5} \)
\( =5138 \)
\( =58 x .23 \)
Which offers the best rate of return? Do you notice any patterns in these numbers?
Th daily is the lestrate of letwin. The cumponarng fichench futwe Value mercans
Working backwards:
4. After \( \$ 5000 \) is invested in an account that pays interest compounded monthly at a rate of 10 years, the future value is \( \$ 10000 \). What was the interest rate, to the nearest hundredth percent?
Answer Key:
1a) Savings bond: \( \$ 1395 \), GIC: \( \$ 1400.91 \), Savings account: \( \$ 1215.09 \).
1b) The GIC is the best investment.
2) (a): \$100.05,
(b): \$100.40,
(c): \$101.76,
(d): \( \$ 123.36 \),
(e): \( 23.36 \% \)
3) (a): \$5775, (b): \$5824.56, (c): \$5831.56, (d): \$5834.80, (e): \$5837.56, (f): \$5838.02, (g): \$5838
4) \( 6.95 \% \)
