What is the difference between the principal amount on a loan and the interest amount on a loan?
Question
Solution 1
The principal amount on a loan refers to the original sum of money borrowed in a loan. It is the amount on which the lender bases the interest to be paid.
Interest on a loan, on the other hand, is the cost of borrowing the principal amount and is determined by the interest rate. It is essentially t Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study prob
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