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Q: In 2 to 4 sentences describe why compound interest earns more money than simple interest.?

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Usually no. Most institutions charge (and pay) compound interest, NOT simple interest.Usually no. Most institutions charge (and pay) compound interest, NOT simple interest.Usually no. Most institutions charge (and pay) compound interest, NOT simple interest.Usually no. Most institutions charge (and pay) compound interest, NOT simple interest.

compound interest increases interest more than simple interest

It can be either.

Simple interest is interest that is calculated only on the amount of unpaid principal on a loan. Such interest is not added to the value of the loan but is tracked separately. Compound interest is interest that is calculated on the total of unpaid principal and accumulated interest on a loan. The difference is in simple interest there is no interest charged on accumulated interest while in compound interest there is interest charged on accumulated interest.

simple interst is when you earn interest from your principal but compound interest is when you earn interest from your principal as well as from your previous interest

Related questions

There is simple interest and there is compound interest but this question is the first that I have heard of a simple compound interest.

CLASSIFICATION OF SENTENCES BY TYPES: declarative sentences interrogative sentences imperative sentence exclamatory sentences CLASSIFICATION OF SENTENCES BY PREDICATION simple compound complex compound complex

Pay attention on subjects and verbs to identify simple sentences , you will then include subordinates and coordinates for compound sentences .

Usually no. Most institutions charge (and pay) compound interest, NOT simple interest.Usually no. Most institutions charge (and pay) compound interest, NOT simple interest.Usually no. Most institutions charge (and pay) compound interest, NOT simple interest.Usually no. Most institutions charge (and pay) compound interest, NOT simple interest.

A teacher can teach simple and compound sentences by using examples for illustration purposes.

its compound interest

Some common conjunctions used to join simple sentences and form compound sentences are "and," "but," "or," "so," and "yet."

Compound interest.

simple interest and compound interest

Simple interest is based on the original principle of a loan. Simple interest is generally used on short-term loans. Compound interest is interest added to the principal of a deposit or loan so that the added interest also earns interest from then on.

compound interest increases interest more than simple interest

The two types of compound sentences are coordinated compound sentences, where independent clauses are joined by a coordinating conjunction, and subordinated compound sentences, where independent clauses are joined by a subordinating conjunction.