"TUUvui < COMPARING SIMPLE AND COMPOUND INTEREST um and Britt each deposit $5,000 into accounts that earn 5% interest. Adam's account Sunnual simple interest while Britt's account earns annual compouna inter ITs account earns annual compound interest. The tables below w how much interest is earned each year for the first 3 years in Adam and Britt's accounts. ATT Annual compound interest ADAM Annual simple interest CALCULATION INTEREST BRITT INTEREST CALCULATION $250 $250 $262.50 $250 YEAR 1 5,000.05) YEAR 2 5,0000.05) YEAR 3 5,000(.05) TOTAL INTEREST EARNED: YEAR 1 5,000(.05) YEAR 2 5,2500.05) YEAR 3 5,512.500.05) TOTAL INTEREST EARNED: $275.63 $250 $788.13 $750 a. Who will earn more interest after three years, and how much more? b. Using the tables to help, describe any differences you notice between how Adam and Britt': interest amounts are calculated.
