The amount that a borrower borrows is referred to as the
A)principal.
B)equity.
C)maturity.
D)lump sum.

Question

Quizplus · Accepted Answer

The amount that a borrower borrows is called the principal. This is the amount that the borrower has requested to borrow and will need to pay back, often with interest. Equity refers to the value of an asset, maturity refers to the date when a financial instrument becomes due for payment, and lump sum refers to a one-time payment of a sum of money.

The Amount That a Borrower Borrows Is Referred to as the