Question: Answer the following problems in an Excel file. Please upload only one Excel file with all of your answers, including #3 (which requires an explanation

Answer the following problems in an Excel file. Please upload only one Excel file with all of your answers, including #3 (which requires an explanation rather than a calculation). All problems must be solved using the PV and FV functions in Excel. please explain how you got each answer and the formulas!!!

1)If I deposit $8,000 in a bank account that pays interest of 1.5%, compounded annually, how much will I have in the account after 10 years?

2)If I deposit $8,000 in a bank account that pays simple interest of 1.5%, how much will I have in the account after 10 years?

3)How would you explain the difference in the answers to the foregoing two problems, given that both banks pay interest at the same rate? Be specific.

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