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What is the relationship between moderators and external validity?
Compound Interest
Interest calculated on the initial principal, which also includes all of the accumulated interest from previous periods on a deposit or loan.
Simple Interest
Interest calculated on the principal portion of a loan or deposit, without compounding on the interest previously earned.
Original Principal
The initial amount of money borrowed or invested, before the addition of interest or profits.
Compounded Annually
A method of calculating interest where the interest rate is applied once per year to the principal, including any interest from previous periods.
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