156k views
5 votes
Mr. simpson has money which he would like to set aside for future use. he could put it in savings or he could invest it. what is the difference between the two options?

2 Answers

4 votes

Answer:

C) There is little risk of loss in savings, while investment implies some risk.

Step-by-step explanation:

User Gagan T K
by
6.2k points
2 votes
Savings are money for safe-keeping. The amount that one saves will be more or less the same when one decides to use or withdraw it. Savings can be through one's safe keeping or through a bank. However, interests are low in the bank. Investment, on the other hand, is money put up in chances for income. Good investments can make passive income for a person. Examples of investments are stocks and mutual funds.
User Gfpacheco
by
7.1k points