Examlex
List the two types of diversification strategies and state the clear distinction between them.
Interest Rate
The fee, represented as a percentage, charged for the privilege of borrowing money, typically assessed annually on the loan principal.
Bank Account
A financial account maintained by a bank for a customer, allowing the deposit and withdrawal of money and the accrual of interest.
Interest Rate
The amount charged by lenders to borrowers for the use of money, expressed as a percentage of the principal, per unit of time.
Loanable Funds
The money available for borrowing in the financial markets, determined by the savings behavior of individuals and institutions and the central bank's monetary policy.
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