Which one of the following terms is used to describe a loan that calls for periodic interest payments and a lump sum principal payment?

A monthly interest rate expressed as an annual rate would be an example of which one of the following rates?    A.  stated rate B.  discounted annual rate C.  effective annual rate D.  periodic monthly rate E.  consolidated monthly rate Refer to section 6.3

6.	What is the interest rate charged per period multiplied by the number of periods per year called?    A.  effective annual rate B.  annual percentage rate C.  periodic interest rate D.  compound interest rate E.  daily interest rate Refer to section 6.3

7.	A loan where the borrower receives money today and repays a single lump sum on a future date is called a(n) _____ loan.    A.  amortized B.  continuous C.  balloon D.  pure discount E.  interest-only Refer to section 6.4

8.	Which one of the following terms is used to describe a loan that calls for periodic interest payments and a lump sum principal payment?    A.  amortized loan B.  modified loan C.  balloon loan D.  pure discount loan E.  interest-only loan Refer to section 6.4