percentage rate

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English

Noun

percentage rate (plural percentage rates)

  1. A measure to show a change or relationship between two numbers as a fraction of 100, over a certain time.
    the annual percentage rate on the mortgage loan is 4.5%, indicating the cost of borrowing money on an annual basis, including interest and fees.
  2. (finance, mathematics) A coefficient, expressed as a fraction of 100, of the quotient of two numbers over a specified period of time, where the denominator has the same units as the numerator but is adjusted by a unit of time. This measure indicates the proportion of a part in relation to a whole and is commonly used to describe rates of interest, growth, or change in financial and economic contexts, expressed in percentage points.

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