Your money will grow or compound ________ as the number of compounding periods per year becomes ________.
A)faster;smaller
B)faster;larger
C)slower;larger
D)slower;compounded
E)none of the above are correct

Question

Quizplus · Accepted Answer

When the number of compounding periods per year becomes larger, the money will grow faster because there are more opportunities for interest to be earned on the previous interest earned. This is known as the effect of compounding.

Your Money Will Grow or Compound ________ as the Number