Register
When the amount earned on a deposit has become part of the principal at the end of a specified time period the concept is called
133k views
0 votes
When the amount earned on a deposit has become part of the principal at the end of a specified time period the concept is called

User Shulhi Sapli
by
4.5k points

1 Answer

0 votes

Answer:

Compound interest

Step-by-step explanation:

Compound interest is a method of measuring interest by which interest is applied to the principal amount over time. You not only earn interest on the principal amount but also collect interest on your interest.

This tends to happen because you save your interest, rather than withdraw it

Hence, the compound interest is the correct answer

User Enkeleda
by
4.1k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

4.5m questions

5.8m answers

Other Questions

How can expansionary​ expenditure-based fiscal policy lead to crowding out in the​ economy? A. ​Expenditure-based fiscal policy increases the national​ debt, inducing​ forward-looking households and firms
Everyone has a unique spending plan. Which of the following factors has the greatest effect on a person's spending decisions?
Stevenson Company purchased equipment for $250,000 on January 1, 2010. The estimated salvage value is $50,000, and the estimated useful life is 5 years. The straight-line method is used for depreciation.
In order to attract younger customers to the Lacoste brand of clothing, CEO Robert Siegel made all of the major decisions in product planning, distribution, and promotion. He asked for no input from his
The method of appraisal in which the appraiser estimates the replacement cost of the building, deducts depreciation, and adds the value of the site is:________
Link Copied!