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(Needing help solving problem 1 & 2 as well as how to work them out correctly, thank you!)

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Problem 1:

A bank gives you two options to choose from your investments:

Option A: 4% annual interest rate compounded yearly.

Option B: 3.95% annual interest rate compounded quarterly.

Decide which option is the better investment at the end of two years. Justify your answer


Problem 2:

The month of November has 30 days. On the first day of the month, your credit card balance is $520. On 11/5 you charge $289 for an airfare, on 11/15 you pay off $500 on your account,on 11/24 you charge $28 for gas, and on 11/28 you charge $73 for a purchase at Amazon.Your credit card interest rate is 13.89%; use the average daily balance method to compute the finance charge on your December statement.

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WhatsApp Image 2019-10-01 at 11.52.20 PM.jpeg

Annual
Option Intrest Compounded
Quartar
After the end
Second year
After the end
Rate
Amount
Starting Amount
First year
Which better
3
6
9
12
of secend year
3
6
9
12
of secend year
A
0.0400
yearly...

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