While it's invested,money grows by earning interest.What is the cumulative growth from interest paid over given time periods referred to as?

Question

Quizplus · Accepted Answer

Cumulative growth from interest paid over time periods is referred to as compound growth. This is because the interest earned is added to the initial investment, and then interest is earned on the total amount (i.e., on the initial investment plus the interest earned). Over time, this can lead to significant growth in the investment. Dividends are regular payments made to shareholders by companies, while capital gains are increases in the value of an investment. Security refers to an investment product, and diversity refers to a strategy of investing in a range of different assets to minimize risk.

While It's Invested,money Grows by Earning Interest