Flashcards
chapter 10 key terms
Cards in this deck (11)
- 1Adjusted Balancethe remaining balance after partial payment less interest is subtracted from the principal
- 2Banker's Ruletime is exact days over 360 in calculating simple interest
- 3Exact Interestcalculating simple interest using 365 days per year in time
- 4Interestprincipal x rate x time
- 5Maturity ValuePrincipal + interest (if interest is charged) Also represents the amount due on the due date
- 6Ordinary Interestcalculating simple interest using 360 days per year in time
- 7Principalamount of money that is originally borrowed, loaned or deposited
- 8Simple InterestInterest is only calculated on the principal (In I = P x R x T) the interest plus original principal equals the maturity value of an interest-bearing note
- 9Simple Interest FormulaInterest = Principal x Rate x Time
- 10TimeExpressed as years or fractional years used to calculate simple interest
- 11U.S. Rulemethod that allows the borrower to receive proper interest credits when paying off a loan in more than one payment before the maturity rate
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- Flashcards on chapter 10 key terms, created by ALEIA CRANDALL on 14/09/2023.
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- ALEIA CRANDALL
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