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Collateral is usually required by a bank as protection in case the company is unable to repay the bank.
Total Interest Earned
The cumulative amount of interest received from an investment over a particular period.
Original Investment
The initial amount of money put into an investment or project, serving as the baseline for measuring future earnings or losses.
Nominal Interest Rate
The interest rate before adjustments for inflation, as opposed to the real interest rate.
Periodic Interest Rate
The interest rate applied to a loan or investment for a specific period, usually shorter than a year.
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