WORLD HISTORY

Detailed explanation-1: -Which loan term is best if you want to reduce the total amount you will repay over the life of the loan: 3-year or 10-year? Answer: 3-year. With a shorter loan, your monthly payments will be higher but you will pay less in interest, meaning you will pay less overall.

Detailed explanation-2: -Do you know the Rule of 72? It’s an easy way to calculate just how long it’s going to take for your money to double. Just take the number 72 and divide it by the interest rate you hope to earn. That number gives you the approximate number of years it will take for your investment to double.

Detailed explanation-3: -You can use the same interest rate calculation concept with other time periods: For a daily interest rate, divide the annual rate by 360 (or 365, depending on your bank). For a quarterly rate, divide the annual rate by four.

Detailed explanation-4: -Amortized Loan: A loan to be repaid, by a series of regular installments of principal and interest, that are equal or nearly equal, without any special balloon payment prior to maturity.