Compute the interest rate earned


Question: A friend has $4800 that has been saved from her part time work, plus any interest earned on it, in 6 months and has asked for your help in deciding whether to put the money in a bank savings account at 5.5 percent interest or to lend it to Judy. Jury has promises to replay $5100 after six months.

[A] Compute the interest rate received on the savings account for 6 months

[B] Compute the rate of return if the money is lent to Judy. [Give your answer to two decimals.]

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: Compute the interest rate earned
Reference No:- TGS021244

Expected delivery within 24 Hours