Your grandma is thinking of putting some of her retirement savings into a Term Deposit for one year, and the bank offers several options: Option 1 – 6% return per annum compounding annually. Option 2...

Your grandma is thinking of putting some of her retirement savings into a Term Deposit for one year, and the bank offers several options:

Option 1 – 6% return per annum compounding annually.

Option 2 – 3% return every six-months compounding semi-annually.

Option 3 – 1.5% return every quarter compounding quarterly.

She knows you have learnt about the compounding interest and wants your advice on which option will give her thebest return.