Earned interest rate which is reinvested in other investment is classified as
A. compound interest
B. investment risk
C. interest rate
D. stated rate
Answer: Option A
Solution(By Examveda Team)
Earned interest rate which is reinvested in other investment is classified as compound interest. Compound interest (or compounding interest) is interest calculated on the initial principal, which also includes all of the accumulated interest of previous periods of a deposit or loan.This Question Belongs to Management >> International Finance And Treasury
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