Part 18 Flashcards
1
Q
________ interest is interest in each period calculated based on the original deposit or investment. The interest doesn’t compound
A
Simple
18-280
2
Q
____________ interest is interest earned on the original investment amount and on previously earned interest
A
Compound
18-281
3
Q
Return __ capital is the recovery of the amount invested
A
Of
18-283
4
Q
Return __ capital is a reward of the assumption of risk
A
On
18-283
5
Q
Your Annual ________ _________ is the total annual payments on a debt
A
Debt Service
18-283
6
Q
__________ fund factor is the compound interest factor that indicates the amount per period that will grow with compound interest to $1
A
Sinking
18-287
