Ask Question
13 June, 15:51

Amortized loans must have which one of these characteristics over its life? Group of answer choices Equal interest payments Declining periodic payments One lump-sum principal payment Increasing payments Either equal or unequal principal payments

+3
Answers (1)
  1. 13 June, 17:56
    0
    The correct answer is: Either equal or unequal principal payments.

    Explanation:

    An amortized loan is the loan that is paid off through regular periodic payments. Amortization is the process of spreading out the loan over a period. Examples of amortized loans are home loans, car loans, etc.

    The principal amount is paid in payments that can be equal for each period or unequal for each period. The interest is paid off first then the excess amount reduces the principal. Id the payments are regular for each period it is called fully amortized loan.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Amortized loans must have which one of these characteristics over its life? Group of answer choices Equal interest payments Declining ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers