what is a down payment?\n○ a fee paid to process a loan application\n○ a cash payment made by the borrower…

what is a down payment?\n○ a fee paid to process a loan application\n○ a cash payment made by the borrower of a percentage of the total cost of the asset\n○ an interest rate charged on a credit card\n○ the first payment a borrower makes on the principal of a loan

what is a down payment?\n○ a fee paid to process a loan application\n○ a cash payment made by the borrower of a percentage of the total cost of the asset\n○ an interest rate charged on a credit card\n○ the first payment a borrower makes on the principal of a loan

Answer

Brief Explanations:

A down - payment is a portion of the total cost of an asset paid in cash by the borrower at the time of purchase. It reduces the amount of money that needs to be borrowed. The other options describe loan - processing fees, credit - card interest rates, and the first principal payment on a loan, which are different from a down - payment.

Answer:

a cash payment made by the borrower of a percentage of the total cost of the asset