________ is the payment received for temporarily giving up the use of money.

Question

Quizplus · Accepted Answer

Interest is the payment received for temporarily giving up the use of money. It is the cost of borrowing or lending money.

Option A - A loan refers to the amount of money given by a lender to a borrower, which needs to be repaid with interest.

Option B - Principal refers to the original amount of money borrowed or invested, excluding interest.

Option D - Collateral refers to an asset pledged by the borrower to secure a loan, in case of default. It is not the payment received for temporarily giving up the use of money.

________ Is the Payment Received for Temporarily Giving Up the Use