Finance and Economics

Home equity is your ownership stake in your home, calculated by subtracting the outstanding mortgage from your property’s market value. Knowing your home equity is essential as it can help…

Credit card interest is calculated using the Annual Percentage Rate (APR), which is applied to your outstanding balance on a daily basis. The interest is compounded, meaning it’s added to…

The average tax rate is the portion of your income that you pay in taxes. It represents the overall share of your income that goes towards taxes. The average tax…

Cash flow to debt ratio is a crucial financial metric that helps you measure the ability of a business to repay its debts using its operating cash flow. Fun Fact:…

When venturing into the world of loans, whether it’s for purchasing a home, loan for a car, or funding education, understanding how to calculate loan payments is indispensable. Knowing your…

Property Tax Basics Property taxes are a type of tax paid by property owners based on the value of their land, homes, and real estate. Local governments often determine and…

Equilibrium price is a fundamental concept in economics that occurs when the quantity of a product demanded equals the quantity supplied. This is the point at which both buyers and…

A basis point (bp) is a unit of measure used in finance to express the change in the value or rate of a financial instrument. One basis point equals 1/100th…

A credit score is a three-digit number that represents your creditworthiness, typically ranging between 300 and 850. It helps financial institutions determine your eligibility for loans, credit cards, and other…

A Required Minimum Distribution (RMD) is the minimum amount you must withdraw from your retirement accounts, such as a traditional IRA or a 401(k), once you reach a certain age….