Multiple Choice Question

Which one of these loans meets the definition of an add$-$on interest loan?

Anna's loan computes the monthly interest based on the unpaid principal balance.

Ruth borrowed $$2,000$ which equaled the initial principal balance.

Scott's loadn requires annual payments equal to the annual interest with all principal repaid at maturity.

Leo borrowed $$1,000$ at $10$ percent for one year. The initial principal loan balance was computed as $$1,000+$$$100=$$$1,100.$