How does a compound interest rate differ from a simple interest rate?

(1 point)
Responses

Compound interest rates pay more interest over time.

Compound interest rates pay more interest over time.

Compound interest rates are calculated only once a year.

Compound interest rates are calculated only once a year.

Compound interest rates are usually lower than simple interest rates.

Compound interest rates are usually lower than simple interest rates.

Compound interest rates apply to home mortgages only.

1 answer

Compound interest rates pay more interest over time.