Sara Is Investing $1,000 Today

Multiple Choice

Sara is investing $1,000 today.Which one of the following will increase the future value of that amount?

A) Shortening the investment time period.
B) Paying interest only on the principal amount.
C) Paying simple interest rather than compound interest.
D) Paying interest only at the end of the investment period rather than throughout the investment period.
E) Increasing the interest rate.