Principal Interest
Year 1
Interest Year 10
Interest Year 20
Total Savings After 20 Years
$12,000 in Simple Interest
Account
$12,000 x
5%
$12,000 x 5%
- $6000
- $600
= $18,000
= $12,600
$12,000 x 5%
- $12000
- $24,000
$12,000 + 20 years of simple
interest
- $24,000
$12,000 x
($12,000 +
$6,615.94)
($12,000+
$18,323.40)
5%
$12,000 in Compound
Interest Account
- $600
$18,615.94 x
5%
= $19546.74
$12,000 + $ 20 years of
compound interest
$31.839.57
$30,323,40 x 5%
$31,839.57
-$12,600
Juanita, who lives with her brother, has saved $12,000 for a down payment on her own house. Her financial planner
suggests she look for a savings account that offers compound interest accounts. Why should Juanita take this advice?
(4 points)
O She will earn interest on the initial deposit, as well as interest earned.
,
O She will have quick access compared to other savings account.
O She is saving for a short-term goal that will be reached soon.
O She has so little to invest that it will be safer over the long term.

hi there, i would say your answer is:

b. there is a fixed quantity of resources and technology available.

hope that : )

answerinnovative culture;

of the three mortgage options that demarco and tanya have to choose from, the balloon payment mortgage would be their best option, over adjustable payment and fixed payment plans.ultimately, the balloon payment plan would save demarco and tanya overall, in interest, would cost less monthly, and they would only have to make these payments for 8 years, opposing to 30 years for adjustable or fixed payment plans. 

overall, demarco and tanya would save $80,811 if they chose balloon payments over fixed payments, and would save $116,711 if they choose balloon payments over adjustable payments. benefits with choosing fixed payments over adjustable payments is that, in the end, the payments will still be $836.30 a month, while with adjustable payments, the initial monthly payments will be $763.38 to $1082.70 a month, ultimately leading to a more costly purchase. benefits with choosing fixed payments over balloon payments are not present. benefits in choosing adjustable payments over is that it has a lower interest rate, and starts with lower monthly payments initially. benefits in choosing adjustable payments over balloon payments include a lower interest rate, and lower initial monthly payments. benefits in choosing balloon payments over fixed payments include lower interest rates, lower overall price, lower monthly payments, takes less time to pay off, and does not require a downpayment. benefits in choosing balloon payments over adjustable payments include, lower monthly payments (when averaged), takes less time to pay off, and lower overall price.

hence, option c, balloon payments, is the best option for demarco and tanya to make this purchase, for it will save them a minimum of $80811, and a maximum of $116,711.