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Example 2

Cierra would like to open a savings account and begin to save money for the small business that she is thinking of starting. She can either put $10,000.00 into Bank A at an annual rate of 5% or $9,000 into Bank B at an annual rate of 7.5%. Which bank should she choose if she is planning to leave her money in the bank for 8 years? Explain.
This applet is provided by Walch Education as supplemental material for their mathematics programs. Visit for more information.