If your goal was to have the largest amount of money in your bank account as possible in two years, which option would you choose? (Assume that the beginning deposit and all interest earnings remain in the account for the full two years.)

Question

Quizplus · Accepted Answer

Option A has the highest interest rate at 8%, which will lead to a higher overall amount of interest earnings over the two-year period, despite having a lower beginning deposit than option C and D. Option B has a higher beginning deposit, but a lower interest rate, resulting in lower overall interest earnings.

If Your Goal Was to Have the Largest Amount of Money