Texas HS Mathematical Models Question of the Day
Test your knowledge with a hand-picked multiple-choice question.
You deposit 10,000 dollars. Option 1: a Texas credit union with simple interest at 4% per year. Option 2: a national bank with 3.6% APR compounded monthly. Let $A_1(t)=10000(1+0.04t)$ and $A_2(t)=10000\left(1+\frac{0.036}{12}\right)^{12t}$. What is the smallest whole number of years $t$ such that $A_2(t)$ is at least 500 dollars greater than $A_1(t)$?
Select an answer and click Check.