BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Interest is the monetary charge for borrowing money-generally expressed as a percentage, such as an annual percentage rate (APR). Interest may be earned by lenders for the use of their funds or paid by borrowers for the use of those funds.

Detailed explanation-2: -Interest-The price of using someone else’s money; the price of borrowing money. Interest rate-The price paid for using someone else’s money, expressed as a percentage of the amount borrowed. Introductory rate-A low interest rate that is offered for a limited time as an incentive to use credit cards.

Detailed explanation-3: -Interest is the price you pay to borrow money or the cost you charge to lend money. Interest is most often reflected as an annual percentage of the amount of a loan. This percentage is known as the interest rate on the loan.

Detailed explanation-4: -Compound Interest Lenders include that interest amount to the loan balance, and they use that amount when calculating the next year’s interest payments on a loan, or what accountants call “interest on the interest” of a loan or credit account balance.

Detailed explanation-5: -What are the Different Types of Interest? The three types of interest include simple (regular) interest, accrued interest, and compounding interest.