Compound interest yields considerably higher interest than simple interest. true false

true is the correct answer

Explanation:

Compound interest in which interest is earned on both principal and investment and Simple interest is computed on the principal.

Compound interest yields considerably higher interest than simple interest because the funds grow at a more rapid rate and interest is earned in every period and to making profits on the money we spend, we can also gain profits on these returns at the end of each compounding time, which could be monthly, annually, regular and quarterly.

Hence,that the reason Compound interest yields considerably higher interest than simple interest.

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