Purchase Solution

Savings and Checking Account

Not what you're looking for?

Ask Custom Question

You have $2151.00 in your checking account. Suppose you have a choice of keeping your money for five years in a savings account with a 2% interest rate, or in a five year certificate of deposit with and interest rate of 4.5%. Calculate how much interest you would earn with each option over five years time with continuous compounding.

Purchase this Solution
Solution Summary

This solution is comprised of detailed step-by-step calculations and analysis of the given problem and provides students with a clear perspective of the underlying concept.

Purchase this Solution
Free BrainMass Quizzes
Lean your Process

This quiz will help you understand the basic concepts of Lean.

Transformational Leadership

This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.

Business Ethics Awareness Strategy

This quiz is designed to assess your current ability for determining the characteristics of ethical behavior. It is essential that leaders, managers, and employees are able to distinguish between positive and negative ethical behavior. The quicker you assess a person's ethical tendency, the awareness empowers you to develop a strategy on how to interact with them.

Balance Sheet

The Fundamental Classified Balance Sheet. What to know to make it easy.

Introduction to Finance

This quiz test introductory finance topics.

View More Free Quizzes
Related BrainMass Solutions

  • Probability Application: Bank Accounts

    Given: 80% of the customers have a checking account 60% of the customers have a savings account 50% of the customers have both a checking and savings account From this we get that 30% of the customers have a checking account only (80% - 50%) and

  • probability

    A local bank reports that 80 percent of its customers maintain a checking account, 60 percent have a savings account, and 50 percent have both.

  • Explain which of the following are counted as part of the mo

    Checking account deposits b. stocks c. Savings account deposits d. Government bonds Solution: Checking account deposits and currency in circulation are considered part of the money supply (M1).

  • Banks and Banks management

    An examination of a comparison between the best deal for a new checking account at a savings bank and a commercial bank. The savings bank selected is Savings Bank of Medocino County. The bank's main location is Ukiah, CA.

  • C++ Bank Queue Simulation Program

    Open a checking account (20 min) 3. Open a savings account (25 min) 4. Close checking account (15 min) 5.

  • Marginal & Conditional Probabilities

    a) If a customer is chosen at random, what is the probability the customer has either a ^ checking or a savings account? Answer Let A and B be the events that the customer has a checking account and a savings account respectively.

  • Probability

    B) Compute the probability that a randomly selected household has no checking account and no savings account.

  • Interest Rates

    If you cannot find checking accounts that offer interest on even that high of a deposit, then find out what interest their savings accounts use, and calculate the interest amounts from them.

  • Bank Account Classes in C++

    The Checking Account class will inherit from the Bank Account class, but will also contain some of its own data members and member functions (think of attributes and actions specific to checking accounts).

  • Demand Deposits for Banks

    Checking and NOW accounts are the most popular for of demand deposits for banks. Assume that Kennon Storeage has a checking account at Livingston Savings Bank.

View More Related Solutions