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Compound interest grows an account faster because more money:
AEarns interest
BEarns income
CEarns increment
DEarns interval
Answer & Solution
Correct answer: A. Earns interest
1. Each year the balance is larger than before.
2. Interest then applies to that larger balance.
3. So more money earns interest.
_Source: OpenStax, Contemporary Mathematics, Ch 6 'Money Management'_
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