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4.2 Line A corresponds to , while Line B is consistent with . Line C corresponds to . Investments and loans base their interest calculations
4.2 Line A corresponds to , while Line B is consistent with . Line C corresponds to .
Investments and loans base their interest calculations on one of two possible methods: the interest and the interest methods. Both methods apply three variablesthe amount of principal, the interest rate, and the investment or deposit periodto the amount deposited or invested in order to compute the amount of interest. However, the two methods differ in their relationship between the variables.
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