Interest Earned on Funds Compounds Because in Future Years, Interest

question 51

Multiple Choice

Interest earned on funds compounds because in future years, interest is earned on _______.

• A)future values
• B)interest received in previous years only
• C)the principal and interest received in previous years only
• D)principal only

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Definitions:

Sulfur

A nonmetallic chemical element with symbol S, known for its bright yellow color and importance in many chemical processes, including as a component of amino acids.

Polyamide

A type of polymer characterized by amide bonds connecting monomers, commonly found in fibers like nylon.

Nylon 6

A type of nylon polymer made from a single type of monomer known as caprolactam, widely used in fibers and plastics.

Hydrolyzed

The process of breaking down a compound by chemical reaction with water.