While i understand we can solve this problem using a simple interest rate computation, but why is the answer different when using I + P = P(1+r/n)^nt?
If $10,000 is invested at x percent simple annual interest for n years, which of the following represents the total amount of interest, in dollars, that will be earned by this investment in the n years
1) 10,000(x^n)
2) 10,000(x/100)^n
3) 10,000n(x/100)
4) 10,000(1+x/100)^n
5) 10,000(1+x/100)
If $10,000 is invested at x percent simple annual interest for n years, which of the following represents the total amount of interest, in dollars, that will be earned by this investment in the n years
1) 10,000(x^n)
2) 10,000(x/100)^n
3) 10,000n(x/100)
4) 10,000(1+x/100)^n
5) 10,000(1+x/100)
