Examlex
The offer of new shares to existing shareholders at no cost, in proportion to the amount of their current holding, is known as:
Nominal Rate
The interest rate before adjustments for inflation, as opposed to the real rate which is adjusted for inflation.
APR
The Annual Percentage Rate (APR) is a measure of the cost of borrowing that includes interest and other fees, shown as a yearly rate.
Compound Interest
The concept of earning interest on previously earned interest. A sum earning compound interest grows exponentially over time.
Interest
The expense associated with taking out a loan or the earnings from an investment, usually quantified as a percent of the initial amount.
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