I have a question and its answer. I post both of them in below. Please look at the question and solution and you will see my question after pictures.

my questions : if I want to know how much bank1 and bank2 will give to Barry after one year, How can I calcualate that? can I use effective intetrest rate? F = P(1+i)^1 and should I plug effective interest rate as i?

4125 Barry, a recent engineering graduate, never took engineering economics. When he graduated, he was hired by a prominent architectural firm. The earn- ings from this job allowed him to deposit $750 each quarter into a savings account. There were two banks that offered savings accounts in his town (a small town!). The first bank was offering 4.5% interest compounded continuously. The second bank offered 46% compounded monthly. Barry decided to deposit in the first bank because it offered continuous compounding. Did he make the right decision