Sanjeev puts $39,000 in a 3 month term-deposit, earning
a simple by Browse to Save”>interest rate of 4.25%. After the 3
months, he then takes the principal and the interest from the first investment and
puts it in another term-deposit with exactly the same conditions.
a)
What amount of interest would be earned on the first term-deposit? For
full marks your answer(s) should be rounded to the nearest cent.

b) What amount of interest would be earned on the second term-deposit?
For full marks your answer(s) should be rounded to the nearest cent.

c) What would the interest rate have to be on a 6
month term-deposit to give the same return on Sanjeev’s by Browse to Save”>money? Note: Please make sure your final answer(s) are in percentage form and are accurate to 2 decimal places. For example 34.56%