SOLUTION: suppose you have $1000 to invest. which investment gives the better return over five years: 5% compounded quarterly or 4.75% compounded continuously?

SOLUTION: suppose you have $1000 to invest. which investment gives the better return over five years: 5% compounded quarterly or 4.75% compounded continuously?

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Question 816462: suppose you have $1000 to invest. which investment gives the better return over five years: 5% compounded quarterly or 4.75% compounded continuously?
Answer by rfer(16322) (Show Source): You can put this solution on YOUR website!
FV=1000(1+0.05/4)^4*5
FV=1000(1.0125)^20
FV=1000(1.282)
FV=$1282.00
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FV=1000(2.7183)^0.0475*5
FV=1000(1.2681)
FV=$1268.00
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