Decision Making: savings acct. at 6%, or business investment

golazin

New member
Joined
May 25, 2008
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Suppose that a person has the following choise of investing $10,000:

a) Placing the money in a savings account paying 6% compounded semiannually;
b) Investing in as business such that the value of the investment after 8 years is $16,000.

Which is the better choice?
 
First, I suggest that you reread your "questions" before posting them, to ensure that your typos are not misleading and/or make your posting very confusing.
Second, I suggest you use the compound interest formula and calculate how much you will have at the end of 8 years if you put it in the savings account.
Third. If you still need help, please show what you have done so far.
 
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