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When partial payments (more than one payment) are made to reduce a loan, each payment amount is first used to reduce the interest on the
When partial payments (more than one payment) are made to reduce a loan, each payment amount is first used to reduce the interest on the loan and the remainder is used to reduce the amount of principal. This is known as:
a.
None of the options
b.
Promissory loan
c.
Declining balance method
d.
Demand loan
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