Hello, kbryant05!

Exactlywhereis your difficulty?

. . You were sick for a week and missed all the lectures?

. . You don't know how to use those formulas?

. . You can't plug the stuff into your calculator?

(a) 7% compounded monthly for 10 years.Use the compound interest formulas: and

Suppose that you have $14,000 to invest.

Which investment yields the greater return over 10 years:

(a) 7% compounded monthly or (b)6.85% compounded continuously?

We have:

Then:

(b) 6.85% compounded continuously for 10 years.

We have:

Then:

Therefore,option (a)has the greater return.