Asked by Jp
In simple words, what are the differences of simple interest, compound interest and annuity?
Answers
Answered by
Ms. Sue
Simple interest pays the same rate every year on only the initial amount invested.
Compound interest pays on the accumulated interest as well as the original investment.
http://www.basic-mathematics.com/simple-vs-compound-interest.html
An annuity is designed to pay the holder a fixed amount of money in regular payments.
http://www.investopedia.com/terms/a/annuity.asp#axzz2H8vy1uYv
Compound interest pays on the accumulated interest as well as the original investment.
http://www.basic-mathematics.com/simple-vs-compound-interest.html
An annuity is designed to pay the holder a fixed amount of money in regular payments.
http://www.investopedia.com/terms/a/annuity.asp#axzz2H8vy1uYv
Answered by
Jp
thanks ms. sue:-)
Answered by
Ms. Sue
You're welcome, Jp.