Here's the formula: Real interest rate = nominal interest rate - rate of inflation (actual or expected) Here is an example from an investor's point of view. Say the initial interest rate on a bond ...

Simple interest is based on the principal amount of a loan, while compound interest is based on the principal plus ...

To calculate interest rate, multiply the principal amount of money by the time period involved (weeks, months, years, etc.). Then divide the amount of paid interest from that time period by that ...