Question

What will you call the extra amount of money you got as profit, after investing a certain amount?

• A. Interest
• B. Principle
• C. Amount
• D. Rate

Answer 1

The correct option is A Interest

The extra mount of money got as profit after investing a certain amount of money is called as $Interest.$

Interest is the cost of using somebody else’s money. When you borrow money, you pay interest. When you lend money, you earn interest.

There are several different ways to calculate interest, and some methods are more beneficial for lenders. The decision to pay interest depends on what you get in return, and the decision to earn interest depends on the alternative options available for investing your money.