The Text Discusses the Topic of Compounding Over a Large

Multiple Choice

The text discusses the topic of compounding over a large number of compounding periods.To illustrate,it shows that $1,000 invested at 8% for 40 years (annual compounding) grows to $21,724.But if you could earn 10% instead of 8%,you would earn ________ more at the end of 40 years.

A) $4,431
B) 25 percent
C) $23,535
D) $1,250