Which one of the following terms is used to describe a loan wherein each payment is equal in amount and includes both interest and principal?

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An amortized loan is a type of loan wherein each payment is equal in amount and includes both interest and principal. This means that every payment made by the borrower goes towards reducing both the interest and the principal balance of the loan. As a result, by the end of the loan term, the entire loan amount is paid off.

Which One of the Following Terms Is Used to Describe