ECONOMICS
SAVING AND INVESTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Simple
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Compound
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Complex
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Fixed
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Detailed explanation-1: -Which form of interest provides the greater return? Interest calculated periodically on the loan principal or investment principal only, not on previously earned interest. What is simple interest?
Detailed explanation-2: -When you invest in compound interest, you are buying a debt-based asset that uses its own growth to further grow over time. The best way to invest in compound interest is with banking products and bonds. A financial advisor can help you decide how to allocate assets in your portfolio for retirement.
Detailed explanation-3: -When it comes to investing, compound interest is better since it allows funds to grow at a faster rate than they would in an account with a simple interest rate. Compound interest comes into play when you’re calculating the annual percentage yield. That’s the annual rate of return or the annual cost of borrowing money.
Detailed explanation-4: -Certificates of deposit (CDs) High-yield savings accounts. Bonds and bond funds. Money market accounts. Dividend stocks. Real estate investment trusts (REITs) 02-Aug-2022
Detailed explanation-5: -Exchanged-Traded Funds (ETFs) Mutual Funds. Alternative Investments. Real Estate (Direct Ownership) Real Estate (Crowdfunding) Real Estate Investment Trusts (REITs) Fine Art. Cryptocurrencies. More items