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354 A friend was left 50000 by his uncle He has decided .pdf

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3-54 A friend was left $50,000 by his uncle. He has decided to put it into a savings account for the next year or so. He finds there are varying interest rates at savings institutions: 23/8% compounded annually, 21/4% compounded quarterly, and 21/8% compounded continuously. He wishes to select the savings institution that will give him the highest return on his money. What interest rate should he select?.

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3-54 A friend was left $50,000 by his uncle. He has decided to put it into a savings account for the next year or so. He finds there are varying interest rates at savings institutions: 23/8% compounded annually, 21/4% compounded quarterly, and 21/8% compounded continuously. He wishes to select the savings institution that will give him the highest return on his money. What interest rate should he select?

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