Choice A is the correct answer. Compare growth rates over time.

1. Investment A: $A_A(t) = 5000(1.06)^t$.
2. Investment B: $A_B(t) = 7000(1.04)^t$.
3. Long-term: Higher growth rate (6% vs 4%) dominates.
4. Crossover: Eventually, $5000(1.06)^t > 7000(1.04)^t$ as $t$ increases.
5. Test $t=20$:
   • A: $5000(1.06)^{20} \approx 16,036$
   • B: $7000(1.04)^{20} \approx 15,346$

💡 Strategic Tip: In exponential functions, the base (growth rate) dominates in the long run.

Choice B is incorrect because despite higher initial value, lower rate loses. Choice C is incorrect because different rates mean different growth. Choice D is incorrect because we can compare by calculating.