Under the "Rule of 78," the Interest Earned by the Lender

question 106

Multiple Choice

Under the "Rule of 78," the interest earned by the lender is

• A)disproportionately pushed to the front of the loan period.
• B)calculated using the simple interest method.
• C)uniformly spread over the life of the loan.
• D)a miscellaneous deduction on your federal tax form.

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The practice of exchanging things with others for mutual benefit, especially in terms of social or economic transactions.

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