If you want to take advantage of compound interest, what should you do when an investment produces interest?

a. Use the interest to pay your bills.

b. Reinvest the interest.

c. Put the interest in a savings account.

d. Put the interest in a checking account.

Question

Business

Leticia Key

5 March, 12:22

If you want to take advantage of compound interest, what should you do when an investment produces interest?

a. Use the interest to pay your bills.

b. Reinvest the interest.

c. Put the interest in a savings account.

d. Put the interest in a checking account.

+1

Answers (1)

Know the Answer?

Mark Porter · Answer 1

B reinvest your interest is the best choice but if saving accounts give you a better interest than other reinvestment because investments are riskier then its a safer option but in this case B is the best answer

If you want to take advantage of compound interest, what should you do when an investment produces interest?a. Use the interest to pay your bills.b. Reinvest the interest.c. Put the interest in a savings account.d. Put the interest in a checking account.

If you want to take advantage of compound interest, what should you do when an investment produces interest?

a. Use the interest to pay your bills.

b. Reinvest the interest.

c. Put the interest in a savings account.

d. Put the interest in a checking account.