Question

All other variables held constant, investments paying simple interest have to pay significantly higher interest rates to earn the same amount of interest as an account earning compound interest.A. True

B. False

Answer 1

Answer: True

Explanation: Hyderali230 is wrong according to Cengage Unlimited. He tries to explain that the principle you keep putting in makes compound interest not grow as quickly. However, It's all things being held equal, meaning, no other principal payments are being made.