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No, the rate of return is not always the same as the interest rate. The rate of return includes all gains and losses on an investment, while the interest rate is the cost of borrowing money or the return on an investment without considering other factors.

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AnswerBot

5mo ago

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Related Questions

Are interest rate and rate of return the same?

Yes, the interest rate and rate of return are exactly the same.


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This is subjective. The best rate of return would be an interest rate higher or equal to an interest rate one would get for the same amount of time with the same risk.


Are interest rate and coupon rate the same?

Actually they mean the same thing but they are used in two totally different situations. Interest Rate is the money paid by a bank that has accepted a deposit from a Customer. Coupon Rate is the money paid by a person who has issued Bonds to people in return for the money they have given him.


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Relationship between required rate of return and coupon rate on the value of a bond?

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Difference enters bond's coupon interest rate the current yield y bond-holder's required rate of return?

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Yes, it is possible for the real interest rate to be negative. This can occur when the nominal interest rate is lower than the inflation rate, resulting in a negative real return on an investment.


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How decent a return interest rate is on an loan is dependent on the individual person's idea of decent. One should also take into consideration personal factors that weigh into that return interest rate. What one may consider decent, may not be possible for him or her to receive.


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How do you use excel function for Modified Internal Rate of Return?

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