A bank offers two different types of interest on savings accounts. Account one pays 5.5% simple interest.
Account two pays 5% interest compounded annually.

Deposits of $1,000 are made into one account of each type. No additional deposits or withdraws are made.

Which amount is closets to the difference in the interest earned in each account at the end of 5 years?

A) $275.00
B) $276.28
C) $1.28
D) $30.68

R=5.5%, P=$1000, T=5yrs

I=PRT/100

I=5.5×1000×5/100

I=$275.00 for the account one, the account two will be $250.00 by comparing, the account one is close to the interest

answer

d. 10

explanation

the distance from point y to wx is the height of the triangle.

using pythagoras theorem,

group similar terms to get,

this implies that,

take positive square root of both sides to get,

this implies that,

its 50 miles away from the starting point