Question

Compound interest allows savings to grow dramatically over the long term. This is also known as ______ (interest on interest)inka​

Answer 1

Answer:

True

Explanation:

I hope it's helps you

Answer 2

Answer:

Compound interest allows savings to grow dramatically over the long term. This is also known as interest on interest.

Explanation:

What does the word "compound interest" mean?

Compound interest is, to put it simply, the interest that is earned on interest. Compound interest is interest that is earned on both the initial principal and interest that builds up over time in a savings account.

Compound interest typically includes two types:

• Periodic Compounding

With this procedure, the interest rate is generated and applied periodically.

• Continuous Compounding

This technique computes interest at the lowest possible intervals using a natural log-based formula.

Thus, long-term investment returns can be considerably increased by compound interest.