SOLUTION: Two brothers, Richard and Steve each inherit 40000. Rick invests his inheritance in a savings account with an annual return of 2.1% while Steve invests his money in a cd paying 5.8
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Question 905966: Two brothers, Richard and Steve each inherit 40000. Rick invests his inheritance in a savings account with an annual return of 2.1% while Steve invests his money in a cd paying 5.8% annually. How much more money does Richard have than Steve after one year Answer by richwmiller(17219) (Show Source):
You can put this solution on YOUR website! Trick question?!
Steve earns more money not Richard.
Steve invested at 5.8% which is almost three time Richard's rate
Richard at 2.1%
.058*40000=2320
.021*40000=840
Difference 1440
What was Richard thinking!
