Which option is better if saving for college or retirement assuming the interest rates are the
same: a compound interest savings account or a
simple interest savings account? TEK58 120-
If invested over the same period of time, a simple
interest account and a compound interest account
will result in the same investment benefit
A simple interest savings account is a better
investment because the interest is earned on the
principal and accumulated interest and not just on
the beginning principal as with a compound
interest savings account
A compound interest savings account is a better
investment because the interest is earned on the
principal and accumulated interest and not just on
the beginning principal as with a simple interest
savings account
O A compound interest savings account is a better
investment because the interest is compounded a
greater number of times than a simple interest
account:
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