Money paid for the use of other money.
Example: Sam invests $1000 and receives $60 in interest after a year.
Example: Alex borrows $5000 from the bank at a 5% interest rate, and has to pay $250 interest in the first year.
Money paid for the use of other money.
Example: Sam invests $1000 and receives $60 in interest after a year.
Example: Alex borrows $5000 from the bank at a 5% interest rate, and has to pay $250 interest in the first year.