Effective interest method and M3: Difference between pages

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''Financial reporting''.
''Economics.''


In relation to a financial asset or financial liability, the allocation of the difference between the initial cost and the final maturity amount using the effective interest rate.
A broad measure of money supply which includes M2 plus longer-term time deposits and money market funds with more than 24-hour maturity.


Also known as the amortised cost method.
It is the broadest established measure of money and is used by economists to estimate the entire supply of money within an economy.




== See also ==
== See also ==
* [[Actuarial method]]
* [[Broad money]]
* [[Amortisation]]
* [[M2]]
* [[Effective interest rate]]
* [[Money supply]]

Revision as of 09:55, 22 August 2013

Economics.

A broad measure of money supply which includes M2 plus longer-term time deposits and money market funds with more than 24-hour maturity.

It is the broadest established measure of money and is used by economists to estimate the entire supply of money within an economy.


See also