The Effective Annual Rate on Your Savings Account Assumes That

The effective annual rate on your savings account assumes that:

A) You withdraw the interest as soon as it is earned.
B) All interest is withdrawn from the account at the end of each year.
C) The annual percentage rate varies as the prime rate varies.
D) All interest is compounded continuously and immediately added to the account balance.
E) All interest payments are reinvested at the same rate as the original deposit into the account.