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You are saving to buy a $194,000 house. There are two competing banks in your area, both offering certificates of deposit yielding 7.9 percent.
Requirement 1: How long will it take your initial $111,000 investment to reach the desired level at First Bank, which pays simple interest? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places(e.g., 32.16).)
Number of years Requirement
2: How long will it take your initial $111,000 investment to reach the desired level at Second Bank, which compounds interest monthly? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)
Number of years
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