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When a Test Was Described as Measuring "Problem-Solvingskills," African-American Students

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When a test was described as measuring "problem-solvingskills," African-American students did just as well as white students. But when told that the same test measured"intellectual ability,"African-American students scored lower than white students. This is an example of stereotype lift.


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Effective Rate

The actual interest rate on an investment or loan, accounting for the effect of compounding over a given period.

Operating Loan

Loan negotiated with banks for day-to-day operations.

Bank

A financial institution licensed to receive deposits, offer loans, and provide various financial services, such as currency exchange and wealth management.

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A financial metric indicating how many times a company collects its average accounts receivable balance in a year.

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