and so if the rate of interest is 4% per year, when you invest $1.00, next year you should get $1.04. For consumers, the bank will let us know how much is their interest when you sign up with them on any of their products. This is the same for company and government bonds. For investors (such as in stock), there are various calculations which takes into account, company's performance (current and projected), the micro/macroeconomic situation (eg. inflation), government policies and other uncontrollable factors ( eg. natural disasters, unpredictable government leaders).
Master MBA Administration process
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