The value of money that is invested generally _______ over time.A.increasesB.remains the sameC.triplesD.decreasesSUBMITarrow_backPREVIOUS
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The value of money that is invested generally A. increases over time. This concept is rooted in the principle of time value of money, which indicates that a sum of money has the potential to earn returns when invested. Over time, investments typically generate income through interest, dividends, or capital gains, which can lead to an overall increase in value. Additionally, inflation plays a role in eroding purchasing power, yet prudent investment strategies can significantly outweigh this effect, allowing the initial sum invested to grow. Therefore, if managed wisely, investments can compound, culminating in a higher value than what was initially invested.
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