Examlex
Debt is a less expensive source of capital than stock.
Market Interest Rate
The market interest rate is the prevailing rate at which borrowers are willing to borrow money and lenders are willing to lend in the financial markets.
Contract Rate
The agreed-upon rate for interest or currency exchange in a financial contract between parties.
Market Rate
The prevailing interest rate available in the marketplace for loans or deposits of a specific maturity.
Contractual Interest Rate
The interest rate specified in a loan agreement or bond indenture.
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