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1.
To find out the rate of interest that you would need to double your investment in a certain number of years, _______.
Divide 72 by the number of years. To find out the rate of interest you will need to double your investment in a certain amount of years, divide 72 by the number of years.
2.
The _______ you invest your money, the _______ compounding can work for you.
Earlier / More. Compounding expands your money greatly over time.
3.
Interest paid on savings accounts and bonds is generally taxable.
True. Interest paid on savings accounts and bonds is generally taxable.
4.
Which of the following is used in the formula for determining compounded interest?
All of the above. Principal, rate of return, and time periods are used in the compounding formula.
5.
The amount of money you invest is called _______.
Principal. The invested amount of money is called principal.