trish invests ​$6,000 in her IRA in a bond trust that pays 10​% interest compounded semiannually. Sean invests ​$6,000 in his IRA

Question

trish invests ​$6,000 in her IRA in a bond trust that pays 10​% interest compounded semiannually. Sean invests ​$6,000 in his IRA in a certificate of deposit that pays 9.7 % compounded continuously. Who has more money after 20 ​years, Trish or​ Sean

Answer 1

10% semi-annually

6000 ( 1 + 10/(100*2))^(40) = 6000( 1 + 0.05) ^40 = 6000(1.05)^40 = 42239.94

vs

continuously at 9.7%

6000 ( e^( 0.07*20)) = 41752.51