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Contract Rate
The agreed upon interest rate specified in the terms of a contract, often relating to loans or bonds.
Effective Rate
The effective rate, often referred to as the annual equivalent rate, measures the real return on savings or the real cost of a loan, taking into account the effect of compounding interest.
Semiannual Interest
Interest calculated or paid twice a year, often related to bond or loan agreements.
Straight-Line Method
A method of calculating depreciation of an asset where the expense is uniformly spread over its useful life.
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