1. Mila will need $15 000 when she goes to college 5 years from now. She has 2 options for saving the money. Option A: A regular deposit at the end of each month into an account that earns 5.5% per year compounded monthly Option B: A regular deposit at the end of each year into an account that earns 6.1% per year compounded annually Which option should Mila choose? Make a recommendation, then justify it.
1. Mila will need $15 000 when she goes to college 5 years from now. She has 2 options for saving the money. Option A: A regular deposit at the end of each month into an account that earns 5.5% per year compounded monthly Option B: A regular deposit at the end of each year into an account that earns 6.1% per year compounded annually Which option should Mila choose? Make a recommendation, then justify it.
Chapter9: Sequences, Probability And Counting Theory
Section9.4: Series And Their Notations
Problem 5SE: What is an annuity?
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Transcribed Image Text:1. Mila will need $15 000 when she goes to college 5 years from now. She has 2 options for
saving the money.
Option A:
A regular deposit at the end of each month
into an account that earns 5.5% per year
compounded monthly
Option B:
A regular deposit at the end of each year into
an account that earns 6.1% per year
compounded annually
Transcribed Image Text:Which option should Mila choose? Make a recommendation, then justify it.
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