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Brut [27]
3 years ago
9

Many companies offer credit cards with compounding interest. Usually this is called the annual percentage rate, or APR. When the

interest is compounded frequently, A) the APR will increase steadily over time. B) balances on the credit card grows faster. C) cash advance limits on the credit card decrease over time. D) the company receives less profit from the credit card balance.
Social Studies
2 answers:
nydimaria [60]3 years ago
7 0
Compounding interest is basically putting interest on interest, so it isn’t pleasant when it happens on a credit card. I would answer with B, because most credit cards today compound interest daily, so compounding frequently can increase your debt quite quickly, especially if you carry a higher balance on your card.
german3 years ago
7 0

Answer:

B) balances on the credit card grows faster

Explanation:

It's right. I just did it.

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