Norah has $50,000 to invest. She is considering two investment options. Option A pays 1.5% simple interest. Option B pays 1.4% interest compounded annually. Drag dollar amounts to the table to show the value of each investment option after 5 years, 10 years, and 20 years rounded to the nearest dollar.

Part 1) Option A

a)

b)

c)

Part 2) Option B

a)  

b)  

c)  

Step-by-step explanation:

Part 1) Option A

Simple Interest

we know that

The simple interest formula is equal to

where

A is the Final Investment Value

P is the Principal amount of money to be invested

r is the rate of interest  

t is Number of Time Periods

in this problem we have

case a) 5 years

substitute in the formula above

case b) 10 years

substitute in the formula above

case c) 20 years

substitute in the formula above

Part 2) Option B

interest compounded annually

we know that    

The compound interest formula is equal to  

where  

A is the Final Investment Value  

P is the Principal amount of money to be invested  

r is the rate of interest  in decimal

t is Number of Time Periods  

n is the number of times interest is compounded per year

in this problem we have  

case a) 5 years

substitute in the formula above

case b) 10 years

substitute in the formula above

case c) 20 years

substitute in the formula above

28

step-by-step explanation:

because that's the answer