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by DAM1997 » Sat Nov 28, 2020 2:38 am
A financial account earned 2% annual interest, compounded daily, for as long as the balance was under $1,000, starting when the account was opened. Once the balance reached $1,000, the account earned 2.5% annual interest, compounded daily until the account was closed. No deposits or withdrawals were made. Was the total amount of interest earned at the 2% rate greater than the total amount earned at the 2.5% rate?

(1) The account earned exactly $25 in interest at the 2.5% rate.
(2) The account was open for exactly three years.