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1-100 bracelets $1.25 per unit 100-200 bracelets $1.75 per unit more than 200 br

ID: 3198772 • Letter: 1

Question

1-100 bracelets $1.25 per unit 100-200 bracelets $1.75 per unit more than 200 bracelets $2.25 per unit 315 42 25- 5313.15 #22)-Mark has $9,000 to invest. He could put it into Bank A at 10% interest compounded annually or Bank B at 8% interest compounded quarterly. Find the APY of each to decide which bank gives Mark the best deal. (3 pts) APY of Bank A- APY of Bank B #23) . Amy works at a bookstore where she earns $8.50 per hour (as well as overtime pay) plus a commission of 2% on her weekly sales over $1,500. Last week Amy worked 49 hours and had total sales of $2,250. What was her gross pay for the week? (3 pts) #24) . Shirley deposited $30,000 in a savings account at 5% interest compounded semiannually. At the beginning of year 4, Shirley deposits an additional $80,000 at 5% interest compounded semiannually. At the end of 6 years what is the balance in Shirley's account? (3 pts)

Explanation / Answer

Principle (P) = 9000

bank A interest rate = 10% compounded annually

time (t) = 1

Amount (A) after 1 year:

A = P(1+r)t

A = 9000(1+10/100)1

A = 9900

Bank B:

interest rate (r) = 8% compounded quarterly

compounding (n) = 4

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

A = 9000(1+0.08/4)4*1

A = 9000(1.02)4

A = 9741.89 = 9742

Hence bank A amount is higher, so bank A is giving a better deal

APY of bank A = 10%

APY of bank B = (9742 - 9000)/9000 = 742/9000 = 0.0824 = 8.24%