Hello, Paulo1913!

You're expected to know the compound interest formula:Jemima has $5000 to invest for two and a half years.

Her bank offers two different investment schemes:

. . an account that pays 3.25% interest at the end of each year,

. . an account that pays 1.3% interest at the end of each six months.

Investigate each scheme and recommend to Jemima, with reasons, what she should do.

. . where: .

Plan A has: .

Plan B has: .

Plan A (3.25% annually) is the more profitable plan.