Question

17. Jing has $800 to deposit into two different savings accounts.

•She will deposit $600 into an account that earns simple interest annually at a rate
of 2.75%.
•She will deposit $200 into an account that earns 2.5% interest compounded
annually.
Jing will not make any additional withdrawals or deposits. Which amount is closest
to the total balance of the two accounts at the end of 3 years?

Answer 1

$864.88

Explanation:

(1. $600 + $49.50 = $649.50

(2. $200 + $15.38 = $215.38

$649.50 + $215.38 = $864.88

A = $864.88