BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -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-2: -Interest is essentially a charge to the borrower for the use of an asset. Assets borrowed can include cash, consumer goods, vehicles, and property. Because of this, an interest rate can be thought of as the “cost of money”-higher interest rates make borrowing the same amount of money more expensive.

Detailed explanation-3: -Embezzlement refers to a form of white-collar crime in which a person or entity intentionally misappropriates the assets entrusted to them. In this type of fraud, the embezzler attains the assets lawfully and has the right to possess them, but the assets are then used for unintended purposes.

Detailed explanation-4: -What Is Interest Cost? Interest cost is the cumulative amount of interest a borrower pays on a debt obligation over the life of the borrowing. Interest is paid on the debt in addition to repayment of principal.

Detailed explanation-5: -Debtor’s pay interest on capital because he is aware that capital has productivity and if it can be used in production there can be increase in income. Therefore, out of the earned income, a part of the income is paid to the creditor or a lender from whom money has been taken as loan is known as Interest.