Answer:
Step-by-step explanation:
The main concept that needs to be understood is the idea of getting paid interest on money that you made from interest payments. This is technically the entire system of compound interest, you invest money into something that provides such interest. You get paid a percentage interest on that money, you then reinvest that payment back into the same investment. Now your next interest payment will be more due to the reinvested amount, and so on. This drastically increases the amount of money that is made over time.