document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=56738>Question 56738</A>: <I><SPAN STYLE=\"word-break: break-all;\">  Which of the following investments will produce the largest amount of interest?  \r<BR>\n" );
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document.write( "   a. $1,000 at 6% interest compounded annually for 5 years  <BR>\n" );
document.write( "   b. $1,000 at 7% interest compounded annually for 4 years  <BR>\n" );
document.write( "   c. $1,000 at 7% interest compounded quarterly for 4 years  <BR>\n" );
document.write( "   d. $1,100 at 6% simple interest for 6 years <BR>\n" );
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document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #38909 by </B><A HREF=/tutors/aboutme.mpl?userid=rcmcc><B>rcmcc(152)</B></A><img src=\"/images/stars/stars-09.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=rcmcc><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=rcmcc><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=38909\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> For compounded interest use the equation A=P(1+i)^n and simple interest use the equation A=Prt\r<BR>\n" );
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document.write( "First we can eliminate choices with common knowledge b, compounded annually will earn less interest that c. would compounding quarterly.\r<BR>\n" );
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document.write( "a)1000(1+.06)^5=1338.23<BR>\n" );
document.write( "C)1000(1+(.07/4))^16=1319.93<BR>\n" );
document.write( "D)1000(.07)6=1420.00\r<BR>\n" );
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document.write( "d) will produce the greatest amount of money. </SPAN>\n" );
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