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Question
Mira has saved $25,000 over the years and she has the option of investing it in either of the two investment plans. Investment A offers 12 percent interest compounded monthly, whereas Investment B pays 13 percent interest compounded semiannually. What would be the difference between the future values of the two investments if Mira's investment horizon is seven years?
a. $4,204.52
b. $3,577.87
c. $1,152.34
d. $2,703.78
e. $3,250.22
Answer
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Related questions
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