Question

A person wants to invest $25,000 for 3 years and is considering two different investments. The first investment, a money market fund, pays a guaranteed 6.4 % interest compounded daily. The second investment, a treasury note, pays 6.6% annual interest. Which investment pays the most interest over the 3 -year period?

Select the correct choice below and, if necessary, fill in any answer box(es) to complete your choice. (Do not round until the final answer. Then round to the nearest cent as needed.)

A. The market fundmarket fund is the better investment, since the market fund produces $nothing in interest, and the treasury note pays $____ in interest.

B. The treasury notetreasury note is the better investment, since the market fund produces $nothing in interest, and the treasury note pays $_____in interest.

C. Both the market fund and the treasury note produce the same interest with \

Answer 1