Compounding Means That Changes in Living Standards Depend

Multiple Choice

Compounding means that changes in living standards depend:

A) only on the initial level of income.
B) only on the accumulation of changes in income since the initial year.
C) on both the initial level of income and the accumulation of changes in income every year since the initial year.
D) on neither the initial level of income nor the accumulation of changes in income since the initial year.