in your own words, without providing the formulas, describe the difference between simple interest and…

in your own words, without providing the formulas, describe the difference between simple interest and compound interest. which type of interest earns money more quickly?

in your own words, without providing the formulas, describe the difference between simple interest and compound interest. which type of interest earns money more quickly?

Answer

Brief Explanations:

Simple interest is calculated only on the principal amount. Compound interest is calculated on the principal and also on the accumulated interest from previous periods. Compound interest earns money more quickly because of the effect of interest - on - interest.

Answer:

Simple interest is based on principal only. Compound interest is based on principal and accumulated interest. Compound interest earns money faster.