<span>It is very simple. The more often it is compounded the better. So daily is the best, next is weekly, monthly etc. The greater the number of compounding periods, the better it is for your bottom line. With a savings account you are lending the bank money but with a mortgage they lend you money so conversely, you want as few compounding periods as possible. It works this way because at each break point to which they compound interest (ie.say monthly) they capitalize (add the interest earned to that point) into the investment and you earn interest on your interest for the next period as well as on the principal you started with (next month in this scenario) So the more often they include the interest earned into the calculation (compound periods) the greater the impact on growth. hope it helps </span>
The correct answer among all the other choices is B. $210. This is the total amount of interest earned at the end of 3 years. Thank you for posting your question. I hope this answer helped you. Let me know if you need more help.
The cash a/c is debited as it is an asset for the business and the capital a/c is credited as it is a liability for the business according to the business entity concept.
<span>This description is taken from the epic poem “Beowulf”,
and describes Hrothgar, King of Denmark. This
poem is considered the eldest English epic poem, dated somewhere between 975
and 1025 and the author is to this day unknown. </span>
