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you invest $2,000 in a stock plan and another $2,000 in a savings account the stock plan decreases 7% the first year and gains 10% the second-year the savings account earns 3.7 APR and compounds annually what's the difference in earnings between the stock and savings account in the end of the second year

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After calculating the stock and savings account total I found out that the difference in earning between them is $104.738.

The difference in earnings between the stock and savings account in the end of the second year is $104.74.

What is the difference between the stock and savings account?

The value of the stock plan at the end of the first year = (100 - 7) x 2000

0.93 x 2000 = $1860

The value of the stock plan at the end of the second year = (100 + 10) x 1860 = $2046

The future value of the savings account = 2000(1.037^2) = $2150.74

Difference = $2150.74 - $2046 = $104.74

To learn more about future value, please check: https://brainly.com/question/18760477

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