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Interest payments |
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Interest paymentsContractual debt payments based on the coupon rate of interest and the principal amount.Interest payments Similar MatchesInterest coverInterest coverInterest cover measures the amount of interest paid by a company on its borrowings against its operating profit in the same period.The ratio shows the impact of gearing on a company's profit and loss account. If the figure is low, a small reduction in operating profits, or a rise in the cost of borrowing, can wipe out pre-tax profits. To calculate interest cover, divide the operating profits by the interest paid.Example: a company which has profits of £4m and which pays net interest of £1m, has interest cover of 4. Variable Interest RateVariable Interest RateAn interest rate which fluctuates as the prevailing rate moves up or down. In mortgages there are usually maximums as to the frequency and amount of fluctuation. Also called "flexible interest rate." Interest sensitive stockInterest sensitive stockStocks whose earnings are dependent upon and change with the interest rate, e.g., bank stocks. Party in interestParty in interestAn ERISA-specified individual—such as an administrator, officer, fiduciary, trustee, custodian, or counsel—who is prohibited from making certain transactions involving a retirement plan. A trustee, for example, would be prohibited from using an IRA as collateral for a loan. Noninterest bearing noteNoninterest bearing noteA note without periodic interest payment, but selling at a discount and maturing at face value. See: Zero-coupon bond. Further Suggestionsvariable interest rateShort term interest rates Best interests of creditors test Covered Interest Rate Parity Variable interest rate Times interest earned ratio Forward interest rate Spot interest rate Consumer interest stepped interest debenture stocks Interest in Arrears Interest sensitive insurance policy interest only mortgage Any interest date Lessees Interest Stated annual interest rate Interest deduction Effective Interest Rate Uncovered interest parity compound interest interest Minority interest Matured noninterest bearing debt Net interest cost (NIC) Earnings before interest, taxes, depreciation, and amortization (EBITDA) |
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