what does the principal refer to in a loan?\nthe percentage paid for borrowing money\nthe borrowers net…
what does the principal refer to in a loan?\nthe percentage paid for borrowing money\nthe borrowers net worth\nthe amount of money borrowed\nthe interest paid on the loan
Answer
Brief Explanations:
In finance, the principal of a loan is the original amount of money borrowed, before any interest is added. The percentage paid for borrowing money is the interest rate. The borrower's net - worth is their total assets minus total liabilities. The interest paid on the loan is the cost of borrowing the principal amount over time.
Answer:
The amount of money borrowed