Match the following terms with their definitions.
-Deferred payment
A) Total of all payments minus amount financed
B) Effective interest rate
C) A payment process
D) A revolving charge account
E) Sum of daily balance divided by number of days in billing cycle
F) Total of all monthly payments plus down payment
G) Used in calculation of average daily balance
H) Doesn't dictate interest rates
I) Cash price minus down payment
J) Used to calculate rebate of finance charge
K) Purchase till maximum credit reached
L) Initial cash payment
Correct Answer:
Verified
Q16: Calculating APR by table lookup requires that
Q17: The Fair Credit and Charge Card Disclosure
Q18: The amount financed equals the cash price
Q19: The average daily balance is the same
Q20: Today most companies calculate the finance charge
Q22: Given: $140.10 per month; cash price $5,600;
Q23: Mia Lane bought a high-definition television for
Q24: Most companies calculate the finance charge on
Q25: Match the following terms with their definitions.
-Finance
Q26: Jen purchased a condo in Naples, Florida,
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