Let's say you are a business owner, you need money to expand, you contact the local bank and borrow that amount. This then becomes DEBT that you will need to pay back + interest. Now, let's say you are a business owner, it's been a great year, your cash account, located at the local bank, is fat with extra money, you take some of the cash and invest it at the bank in a C's. For 1 year. At the end of that year you should receive your investment + interest. So after reading this article as a business owner how does compounding hurt and help you?
Let's say you are a business owner, you need money to expand, you contact the local bank and borrow that amount. This then becomes DEBT that you will need to pay back + interest. Now, let's say you are a business owner, it's been a great year, your cash account, located at the local bank, is fat with extra money, you take some of the cash and invest it at the bank in a C's. For 1 year. At the end of that year you should receive your investment + interest. So after reading this article as a business owner how does compounding hurt and help you?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Let's say you are a business owner, you need money to expand, you contact the local bank and borrow that amount. This then becomes DEBT that you will need to pay back + interest.
Now, let's say you are a business owner, it's been a great year, your cash account, located at the local bank, is fat with extra money, you take some of the cash and invest it at the bank in a C's. For 1 year. At the end of that year you should receive your investment + interest. So after reading this article as a business owner how does compounding hurt and help you?
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