Investigate the difference between compounding annually and simple interest for parts a-j. Round to the nearest cent.

a. Find the simple interest for a 1-year CD for $5,000 at a 2.5% interest rate.

b. Find the interest for a 1-year CD for $5,000 at an interest rate of 2.5%,

compounded annually.

c. Compare the results from parts a and b.

d. Find the simple interest for a 3-year CD for $5,000 at an interest rate

of 2.5%.

e. Find the interest for a 3-year CD for $5,000 at an interest rate of 2.5%,

compounded annually.

f. Compare the results from parts d and e.

g. Find the simple interest for a 6-year CD for $5,000 at an interest rate of 2%.

h. Find the interest for a 6-year CD for $5,000 at an interest rate of 2%,

compounded annually.

i. Compare the results from parts g and h.

j. Is interest compounded annually the same as simple interest? Explain

Step-by-step explanation:

Simple interest formula

Compound interest formula

a.

Simple interest is $125

b

.

Compound interest is $125

c. the result for both a and b are the same

d.

the simple interest is $375

e

.

the compound interest is $385

f. the result compared, compound interest is $10 more than simple interest

g.

the simple interest is $600

h.

the compound interest is $4869

i. the result from g and h, h is over 8 times bigger than g.

j. interest compound annually is not the same as simple interest, only for the case of a and b seeing that it is for 1 year. but for 2years and above there is difference as seen in c to h

answer:  

123455421

step-by-step explanation: easy

3< x< 5

step-by-step explanation:

|x - 4| < 1

there are two solutions, one positive and one negative.   remember to flip the inequality when taking the negative solution

x-4 < 1       x-4 > -1

add 4 to each side

x-4+4 < 1+4       x-4+4 > -1+4

x< 5                 x> 3

3< x< 5