Answer:
The first​ investment in money market​ fund.
Explanation:
The first​ investment, a money market​ fund, pays a guaranteed 6.7​% interest compounded;
Compound Interest Calculation
=[tex]P [(1 + i)^{2} -1][/tex]
=[tex]24000 [(1 + 0.067)^{2} -1][/tex]
=$27,323.74 - $24,000
=$3,323.74
The person will get a total interest of $3,323.74 in 2 years
The second​ investment, a treasury​ note, pays 6.8​% annual interest
=​$24,000 * (6.8/100) = ​$1,632
= $1,632 Â * 2 = $3,264
The person will get a total interest of $3,264 in 2 years
With the above computations. It will be favourable if the person invested in the money market fund.
