Activity 2: Analyze the given situation. Answer the questions and write your answer on blank space. Suppose you have a P20,000 and you plan to save it for 2 years. Bank IPB offers 7% simple interest rate per year while bank ODB offers 5% compounded quarterly. Which of the two banks offer simple interest? Which one offers compound interest? Which of the two banks will make your savings grow faster?

Activity 2: Analyze the given situation. Answer the questions and write your answer on blank space. Suppose you have a P20,000 and you plan to save it for 2 years. Bank IPB offers 7% simple interest rate per year while bank ODB offers 5% compounded quarterly. Which of the two banks offer simple interest? Which one offers compound interest? Which of the two banks will make your savings grow faster?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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