Reviewed by Erika RasureFact checked by Vikki VelasquezMultiple economic factors influence interest rates. Three types of ...

Real interest rates are dictated by the rate of inflation. Higher inflation rates erode consumers’ purchasing power and the amount of interest earned from investments such as deposits.

The formula for calculating simple interest is A = P x R x T. A is the amount of interest you'll wind up with. P is the principal or initial deposit. R is the annual interest rate (shown in ...

Use the simple interest formula to calculate the interest gained on \(£2500\) over \(4\) years at a rate of \(6\%\) per annum. Compound interest is interest that is calculated on the principal ...