63.2k views
4 votes
How is compound interest different from simple interest?

How is compound interest different from simple interest?-example-1
User Khoga
by
5.3k points

2 Answers

2 votes

Answer: B compound interest pays on both principal and accumulated interest

User MotoDrizzt
by
5.3k points
2 votes

Answer:

Simple interest is calculated on the principal, or original, amount of a loan. Compound interest is calculated on the principal amount and also on the accumulated interest

Step-by-step explanation: