IMPLICIT RATE OF INTEREST Definition

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IMPLICIT RATE OF INTEREST is when the stated interest rate is not indicative of the market rate at the time a note is negotiated, the value of the asset (cash or non-cash) or service exchanged for the note establishes the market rate.

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INTERFUND LOAN is an authorized (usually) short term loan from one fund to another.

SUBSCRIPTION, in securities, is an agreement to buy a new issue of securities.

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