Investors Are Individuals Who Try to Make a Quick Profit

question 86

True/False

Investors are individuals who try to make a quick profit based on short-term market adjustments.

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Definitions:

Compounded Monthly

The method of computing interest that includes both the original amount of money deposited or loaned and the interest that amount has earned in past months.

Amortized

The process of spreading payments over multiple periods, typically in context of a loan or mortgage, which includes both interest and principal components.

Compounded Semi-annually

Refers to the process where interest is calculated and added to the principal balance of an investment or loan twice a year.

Amortized

The process of spreading out a loan into a series of fixed payments over time.