Brandon and Zach each have $600 to invest. Brandon's investments earn a rate of 10.5%, and Zach's investments earn a rate of 6.5%. Both are compounded continuously. Approximately, how much more money will Brandon have than Zach when Zach's investments are worth $900?

$255

$241

$184

$264

Question

Cherish Cooke

Mathematics

2 June, 13:46

Brandon and Zach each have $600 to invest. Brandon's investments earn a rate of 10.5%, and Zach's investments earn a rate of 6.5%. Both are compounded continuously. Approximately, how much more money will Brandon have than Zach when Zach's investments are worth $900?

$255

$241

$184

$264

+3

Answers (1)

Know the Answer?

Ruth Choi · Answer 1

A=pe^rt

First find the time for zack's investment

T = (log (A/p) : log (e)) : r

A 900

P 600

R 0.065

T = (log (900:600) : log (e)) : 0.065

T=6.24 years

Now find the difference between the investments

600*e^ (0.105*6.24) - 600*e^ (0.065*6.24) = 255

So the answer is a

Brandon and Zach each have $600 to invest. Brandon's investments earn a rate of 10.5%, and Zach's investments earn a rate of 6.5%. Both are compounded continuously. Approximately, how much more money will Brandon have than Zach when Zach's investments are worth $900?$255$241$184$264

Brandon and Zach each have $600 to invest. Brandon's investments earn a rate of 10.5%, and Zach's investments earn a rate of 6.5%. Both are compounded continuously. Approximately, how much more money will Brandon have than Zach when Zach's investments are worth $900?

$255

$241

$184

$264