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An amortized loan: a.Requires that all payments be equal in amount and include both principal and interest. b. May have equal or increasing amounts -
An amortized loan:
a.Requires that all payments be equal in amount and include both principal and interest. |
b. May have equal or increasing amounts - but not decreasing amounts - of principal paid off with each loan payment. |
c.Requires the principal amount to be repaid in even increments over the life of the loan. |
d.Repays both the principal and the interest in one lump sum at the end of the loan term. |
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