\

(a)

\

The Prinicipal Income is $\"\"$ .

\

Time period is $\"\"$ years.

\

Rate of interest is $\"\"$ .

\

Find the simple interest .

\

Simple interest $\"\"$ .

\

Substitute all the values in the equation.

\

$\"\"$

\

$\"\"$

\

The amount is $\"\"$

\

Therefore,the total amount is $\"\"$

\

\

(b)

\

The Prinicipal Income is $\"\"$ .

\

Time period is $\"\"$ years.

\

Rate of interest is $\"\"$ .

\

Find the total amount compounded monthly.

\

Compound interest is $\"\"$ .

\

For monthly compounded $\"\"$ .

\

Substitute all the values in the equation.

\

$\"\"$

\

$\"\"$

\

$\"\"$

\

$\"\"$

\

$\"\"$

\

Therefore,the total amount is compounded monthly with interest of $\"\"$ is $\"\"$ .

\

\

(c)

\

The Prinicipal Income is $\"\"$ .

\

Time period is $\"\"$ years.

\

Rate of interest is $\"\"$ .

\

Find the total amount compounded continuously.

\

Compound interest is $\"\"$ .

\

Substitute all the values in the equation.

\

$\"\"$

\

$\"\"$

\

$\"\"$

\

$\"\"$

\

Therefore,the total amount is compounded continuously with interest of $\"\"$ is $\"\"$ .

\

Compare the three total amounts $\"\"$ , $\"\"$ and $\"\"$ .

\

Simple interest at $\"\"$ per annum is the best deal.

\

\

(a) The total amount is $\"\"$

\

(b) The total amount is compounded monthly with interest of $\"\"$ is $\"\"$ .

\

(c) The total amount is compounded continuously with interest of $\"\"$ is $\"\"$ .

\

Simple interest at $\"\"$ per annum is the best deal.