Bank offering certificates of deposit yielding

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Reference no: EM131308182

You are saving to buy a $182,000 house. There are two competing banks in your area, both offering certificates of deposit yielding 6.7 percent.

1. How long will it take your initial $99,000 investment to reach the desired level at First Bank, which pays simple interest? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

2. How long will it take your initial $99,000 investment to reach the desired level at Second Bank, which compounds interest monthly? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Reference no: EM131308182

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