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22 June, 22:58

Orlando invests S1000 at 6% annual interest compounded daily and Bernadette invests S1000 at 170 simple interest. After how many whole years will Orlando's investments be worth more than

Bernadette's investments?

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  1. 22 June, 23:06
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    So it will only take a year for Orlando's investments be worth more than

    Bernadette's investments

    Step-by-step explanation:

    Interest of Bernadette in a year

    = (1000*170*1) / 100

    = 1700

    So amount at a year is$ 2700

    For Orlando amount the end of the year with compound interest daily.

    A = P (1+r/n) ^nt

    A = 1000 (1 + (17/365)) ^ (365*1)

    A = 1000 (1+0.0466) ^365

    A = 1000 (1.0466) ^365

    A = $1.659*10^10

    So it will only take a year for Orlando's investments be worth more than

    Bernadette's investments
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