When economists say that an interest rate is compounding, they imply that:
A) the rate of interest decreases every year.
B) the rate of interest increases every year.
C) interest is being earned on interest.
D) double the interest payment is received every two years.
C
Economics
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For a perfectly competitive firm, price is identical to marginal revenue at every quantity
a. True b. False
Economics
If the inflation rate in an economy is higher than expected, which of the following groups in the society would be most likely to gain?
a. Borrowers b. Lenders c. Persons holding large amounts of money d. Persons on fixed incomes e. Workers under contract without a cost of living adjustment
Economics