If you are loaning money,which of the following would you prefer?
A)interest compounded semiannually
B)interest compounded quarterly
C)interest compounded monthly
D)simple interest

Question

Quizplus · Accepted Answer

Compounding interest monthly will result in more interest earned compared to semiannual or quarterly compounding. Simple interest would result in the lender receiving less interest overall.

If You Are Loaning Money,which of the Following Would You