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Examine the relationships between the elephants in the figure below.Which one of the following pairs is most closely related?
Interest Rate
The part of a loan that incurs interest charges for the borrower, usually shown as an annual percent of the outstanding loan.
Investment
Allocating resources, such as capital or time, with the expectation of generating an income or profit.
Interest
The cost of borrowing money, typically expressed as a percentage of the amount borrowed, or the income earned from deposited funds.
Interest Rate
The proportion, in percentage, charged on the total amount borrowed or earned on the deposited amount over a specific time period.
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