Lisa deposits 50 000 into an account that pays 4 interest

Last updated: 11/3/2023

Lisa deposits 50 000 into an account that pays 4 interest per year compounded annually Scott deposits 50 000 into an account that also pays 4 per year But it is simple interest Find the interest Lisa and Scott earn during each of the first three years Then decide who earns more interest for each year Assume there are no withdrawals and no additional deposits Year First Second Third Interest Lisa earns Interest compounded annually 0 0 Interest Scott earns Simple interest 0 0 0 Who earns more interest Lisa earns more O Scott earns more They earn the same amount O Lisa earns more Scott earns more They earn the same amount Lisa earns more Scott earns more They earn the same amount