Investment a Offers a 9% Return Compounded Semiannually, and Investment

question 93

Essay

Investment A offers a 9% return compounded semiannually, and investment B offers a 8.87% return compounded continuously. Which investment has a higher rate of return over a 4-yr period? (Enter A or B.)

---

Definitions:

Electronic Media

Forms of media that use electronic or electromechanical energy for the end-user (audience) to access the content.

TV Viewing

The act of watching television content, often discussed in the context of its effects on behavior, time management, or mental health.

MySpace

An early social networking website that allows users to create personal profiles, share music, photos, and connect with friends, which was particularly popular in the early 2000s.

Child Care Centers

Facilities that provide care and educational activities for children outside of their home, typically while parents or guardians are at work.