Amount at the end of five years


Melissa decided to invest $2000 in Bank One for period of five years. This bank pays an annual interest rate of 6%, compounded annually. Her friend Rocco chose to invest some money in Bank Two for five years. Bank Two also pays an annual interest rate of 6%, but the money is compounded quarterly. To the nearest dollar, how much money must Rocco invest in order for his amount to match Melissa's amount at the end of five years?

A) $1990

B) $1987

C) $1984

D) $1981

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Mathematics: Amount at the end of five years
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