In other words, the interest rate on loanable funds cannot fall below zero because holding cash guarantees a rate of return of zero.
换句话说,可贷资金的利率不可能低于零,因为持有现金的回报率都可以为零。
The internal rate of return (IRR for short) of a project is simply the interest rate that makes the NPV of the project equal to 0.
项目的内部收益率(略为IRR)就是使得项目 NPV 为 0 的利率.
Investors get a return based on the interest rate of the loan and can lose their money if the business defaults.
在贷款利率的基础上,投资者获得回报,也可能因商业违约而失去金钱。
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