What is the difference between simple interest and compound interest? Why do you end up with more money with compound interest? Question content area bottom Part 1 Choose the correct answer below. A. Simple interest is interest paid both on the original investment and on all interest that has been added to the original investment whereas compound interest is interest paid only on the original investment. Since compound interest is calculated based on a smaller amount, it results in a larger amount of money over time. B. Simple interest is interest paid only on the original investment whereas compound interest is interest paid both on the original investment and on all interest that has been added to the original investment. Since compound interest is calculated based on a larger amount than simple interest, it results in a larger amount of money over time. C. Simple interest is interest paid only on 50% of the original investment whereas compound interest is interest paid only on 100% of the original investment. Since compound interest is calculated based on a larger amount than simple interest, it results in a larger amount of money over time.D. Simple interest is interest paid at a fixed rate over time whereas compound interest fluctuates over time. Since the rates for compound interest are always increasing, it results in a larger amount of money over time compared to simple interest