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The difference in the total amount of interest earned on a 1000 investment after 5 years with quarterly compounding interest versus monthly compounding interest in Activity 10.5 is due to the frequency of compounding. Quarterly compounding results in interest being calculated and added to the principal 4 times a year, while monthly compounding does so 12 times a year. This difference in compounding frequency affects the total interest earned over the 5-year period.
What else can I help you with?
How Mutual Fund SIP offers a proper year out planning?
Whosoever wants to maximize the returns on investments should go for SIP - Systematic Investment Planning. Regular investing gives you the benefit of the Power of Compounding. As you are asking about benefits after a year, when you choose to invest long-term and earns returns on returns of your investment capital, you start compounding the money. This is the main benefit, and you know Managing Investment is not a one-time activity, so I suggest you hire Fee-Based SEBI Registered Advisors - Truemind Capital Services.
What is an stock exchange investment plan?
first an investment plan should consist of historical side of the company, then its business activity and also by whom was it founded and when, why you selected the company??
Is Cash from issuance of long term debt finance or investment?
Cash received from long term debt is a financing activity from company point of view while investment from investor point of view, same as while company purchase shares of other company it is investing activity from company point of view while financing activity from other company's point of view.
What is the accelerator theory of investment?
The accelerator theory of investment posits that business investment levels are influenced by changes in economic output or demand. Specifically, when demand for goods and services increases, firms are likely to invest more in capital goods to meet this demand, leading to a multiplier effect on economic growth. Conversely, if demand decreases, firms may reduce their investment, impacting overall economic activity. This theory highlights the relationship between demand fluctuations and investment behavior, suggesting that investment is not just based on current profits but also on anticipated future demand.
Why does the purchase of an item classified as a cash equivalent not appear on the statement of cash flows as an investing activity?
A cash equivalent is a short-term investment in marketable securities that can be sold very quickly (three days or less in an active exchange); its purpose is to provide some level of return on excess cash that would otherwise be sitting in a bank account. To that extent that the cash equivalent can be thought of as operating cash on hand, and not as an investment. If, on the other hand, a company bought marketable securities to hold for investment purposes over the long-term that would be investing. Given that the purchase of cash equivalents is related to operating activities it is accounted for in cash flows from operating activities. The investment in marketable securities "held for investment" would be treated as an investing activity.
How Mutual Fund SIP offers a proper year out planning?
Whosoever wants to maximize the returns on investments should go for SIP - Systematic Investment Planning. Regular investing gives you the benefit of the Power of Compounding. As you are asking about benefits after a year, when you choose to invest long-term and earns returns on returns of your investment capital, you start compounding the money. This is the main benefit, and you know Managing Investment is not a one-time activity, so I suggest you hire Fee-Based SEBI Registered Advisors - Truemind Capital Services.
What is the difference between activity and experiment?
the difference between activity and experiment is ...experiment is do
Who is employer of investment banker?
Any person, who undertakes investment banking activity, employed by himself or an organisation which undertakes investment activity, is an investment banker. Hence he can be self employed or can be employed by an investment banking institution. Investment bankers are those, who can meet the financial requirement of any commercial or government organisation. Unlike a commercial banker, the risks of the investment is normally borne by the investor himself , and the investment bankers assist the investors with their expertise.
What is difference between market capital and turnover?
Market capital is teh total turn over of the market in a perticular period .Where as Turn over is the single business activity"s investment and return .
The concept of investment states that any activity that makes an individual more productive or more potentially more productive is worthwile?
Investment in Human Capital
What is called the difference between the value that an activity generates and the cost of the activity?
revenue
What is the difference between economic and noneconomic activity?
Economic activity is the activity in which we work for earning an incom. Non economic activity is the activity wich we do it for our satisfaction.
What is the difference between economic and noneconomic?
Economic activity is the activity in which we work for earning an incom. Non economic activity is the activity wich we do it for our satisfaction.
What is the difference between moderate and vigorous physical activity?
it means to do an activity in a moderate level
What is an stock exchange investment plan?
first an investment plan should consist of historical side of the company, then its business activity and also by whom was it founded and when, why you selected the company??
Why the residential property is the example of an investment house?
Investing in a residential property is " investing in a house." Investment houses are organisation who take care of own or others' investing activity.
What is institutional investment?
Institutional investments refer to organization's investment activity rather than investments by individuals. Instituitions tend to invest in higher quality securities than individuals
