Question

In your own words, without providing the formulas, describe the difference between simple interest and compound interest. Which type of interest earns money more quickly?

Answer 1

Answer:

In my own words, without providing the formulas, describe the difference between simple interest and compound interest. Which type of interest earns money more quickly? Simple interest is earned on the principal only. Compound interest is earned on the principal as well as any previously earned interest

Answer 2

Answer:

Simple interest is applied only to principal investment amounts each year. Compound interest applies to principal investment amounts, but also applies to any previously earned interest. Compound interest earns money more quickly.

Step-by-step explanation:

Its the sample response! :)

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