금융 · 2 min · 197 words · A2
What is Compound Interest?
복리란 무엇인가
is one of the most powerful ideas in finance. It is the reason small can grow into a large amount over time.
Here is how it works. You put one hundred dollars in a bank. The bank pays you ten percent each year. After one year, you have one hundred and ten dollars.
Now the magic begins. In the second year, the bank pays on the new amount, not the old one. So you earn ten percent on one hundred and ten dollars, which is eleven dollars. You now have one hundred and twenty-one dollars.
Each year, the is added to the . The keeps growing. The is slow at first, but it gets faster.
After thirty years at this , your one hundred dollars becomes about seventeen hundred dollars. You did nothing extra. The math did the work.
This is why people say: start saving early. Time is the most important part of .
이해도 점검
1. Why is compound interest different from simple interest?
2. After thirty years, what happens to one hundred dollars at ten percent?
3. What does the article say is the most important part of compound interest?
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