### Home > GB8I > Chapter 10 Unit 11 > Lesson INT1: 10.1.3 > Problem10-49

10-49.

Talayna has a third investment option now. She can also invest her money in an account that pays $2.5$% simple interest. She thinks that this might be better because the interest rate is higher. She decides to compare this account to the one that pays $2$% compounded quarterly. If she wants to deposit the money for $5$ years, which account is better? If she wants to deposit for $25$ years, which account is better?

Review the Math Notes box in section 8.1.4

Review the hints on problem 10-36.