Question
All other things being equal, the numerical difference between a present and a future value corresponds to the amount of interest earned during the deposit
All other things being equal, the numerical difference between a present and a future value corresponds to the amount of interest earned during the deposit or investment period. Each line on the following graph corresponds to an interest rate: 0%, 9%, or 18%. Identify the interest rate that corresponds with each line.
Find the%- Line A: % Line B: % Line C: % Investments and loans base their interest calculations on one of two possible methods: the simple OR complex interest and the compound OR uncomplicated? interest methods. Both methods apply three variablesthe amount of principal, the interest rate, and the investment or deposit periodto the amount deposited or invested in order to compute the amount of interest. However, the two methods differ in their relationship between the variables.
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