Ask Question
BusinessBusiness
22 February, 01:49

Compounding refers directly to Answers:

a. finding the future value of a present sum of money.

b. changes in the interest rate over time on a bank account or a similar savings vehicle.

c. interest being earned on previously-earned interest.

d. finding the present value of a future sum of money.

+2
Answers (1)
  1. 22 February, 03:34
    0
    C) interest being earned on previously-earned interest.

    Explanation:

    The difference between simple interest and compound interest is that in simple transactions, interest is calculated only on the principal amount, while compound interest is calculated on the principal amount and the amount of interest previously earned.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Compounding refers directly to Answers: a. finding the future value of a present sum of money. b. changes in the interest rate over time on ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Scenario 1 Country A invested in reliable wireless Internet for most of its cities. As a result, more people and small businesses have access to high-speed Internet.
Answers (2)
2. Boilermaker Corp has a beta of 0.8. The market return is expected to be 15%, and the current risk-free rate is 4%.
Answers (1)
Which type of lender typically has the highest fees?
Answers (1)
Suppose the reserve requirement is 5 %. What is the effect on total checkable deposits in the economy if bank reserves increase by $50 billion? A. $250 billion increase B. $10 billion increase C. $50 billion increase D. $1 comma 000 billion increase
Answers (1)
Dart Corp., a calendar-year S corporation, had 60,000 shares of voting common stock and 40,000 shares of nonvoting common stock issued and outstanding.
Answers (1)
New Questions in Business
One financial institution is offering a 1% interest rate on savings accounts while another institution is offering a 2% interest rate on savings accounts. Out of the two financial institutions, which offer would the bank probably be offering
Answers (1)
Gault Corporation had the following shares of stock outstanding on December 31, 2018: Common stock, $50 par value, 200,000 shares outstanding Preferred stock, 8 percent, $100 par value, cumulative, 20,000 shares outstanding Dividends were in arrears
Answers (1)
An economy begins in long-run equilibrium, and then a change in government regulations allows banks to start paying interest on check - ing accounts.
Answers (1)
What effect does the availability of many substitutes have on the elasticity of demand for a good?
Answers (1)
What strategies do companies use for their financial benefit
Answers (1)
Home » Business » Compounding refers directly to Answers: a. finding the future value of a present sum of money. b. changes in the interest rate over time on a bank account or a similar savings vehicle. c. interest being earned on previously-earned interest. d.
Sign Up Forgot Password?