when opening a savings account at a bank, which method of computing interest would a person prefer for the…

when opening a savings account at a bank, which method of computing interest would a person prefer for the bank to use because it results in the money earning the most interest? simple interest. interest compounded daily. interest compounded monthly. interest compounded annually.

when opening a savings account at a bank, which method of computing interest would a person prefer for the bank to use because it results in the money earning the most interest? simple interest. interest compounded daily. interest compounded monthly. interest compounded annually.

Answer

Brief Explanations:

Compound - interest formulas show that the more frequently interest is compounded, the higher the amount of interest earned. Daily compounding has the highest compounding frequency among the given options, leading to more interest over time compared to monthly, annual compounding, or simple - interest methods.

Answer:

C. Interest compounded daily.