Business, 19.09.2020 01:01 only1123

Select one savings option from the Simple Interest column and one from the Compound Interest column to compare: Simple Interest Compound Interest Option A—earns 2.5% simple interest per year Option D—earns 2% compound interest per year Option B—earns 3% simple interest per year Option E—earns 2.5% compound interest per year Option C—earns 3.5% simple interest per year Option F—earns 3% compound interest per year Part Two—Crunch the Numbers Calculate the after-tax real rate of return earned on $5,000 by your selected savings options over a period of three years. This will help your comparison. Remember, the real rate of return includes taxes on the interest earned and inflation. For this assignment, use a tax rate of 10% and an average inflation rate of 3%. You will submit your calculations as part of your assignment.

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Select one savings option from the Simple Interest column and one from the Compound Interest column...