With all other factors equal, the simple interest amount will be
A)greater than the compound interest amount.
B)less than the compound interest amount.
C)equal to the compound interest amount
D)either higher or lower than the compound interest amount, depending on other factors.

Question

Quizplus · Accepted Answer

Simple interest is calculated on the principal amount only, whereas compound interest is calculated on the principal plus any previously earned interest, leading to a higher amount over time.

With All Other Factors Equal, the Simple Interest Amount Will