Which of the following statements is true—assuming that no additional deposits or withdrawals are made?
(a) an investment of $50 at an annual rate of 5% will return a higher value in five years than $25 invested at an annual rate of 10% in the same time.
(b) an investment of $25 at an annual rate of 10% will return a higher value in five years than $50 invested at an annual rate of 5% in the same time.

The answer is the (A)

Explanation:

In the exercise you have to apply the equation of compound interest rate to the two scenarios or options that give the exercise to determine which options is greater.  

Future Value  = Amount o money *(1+ interest rate)^(n)  

Option(A) = $50*((1+5%)^(5))

Option(A) = $63,81

Option(B) = $25*((1+5%)^(5))

Option(B) = $40,26  

After do the two calculus, you can determine that the answer is A because in the 5 years that investment generate a higher value that B option , according with the future value equation.

two years ago, when picking flowers in the mountains back of yosemite valley, i found a book. it was blotted and storm-beaten; all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however; many of the inner pages were well preserved. and although all were more or less stained and torn, whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today; its granite pages have been torn and blurred by the same storms that wasted the castaway book.

two years ago, when picking flowers in the mountains back of yosemite valley; i found a book. it was blotted and storm-beaten, all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however, many of the inner pages were well preserved. and although all were more or less stained and torn; whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today, its granite pages have been torn and blurred by the same storms that wasted the castaway book.