What is the term used to describe the cost incurred for utilizing borrowed money?

Choose the correct answer

Explanation

The correct answer is 'Loan' because it represents the borrowed funds themselves. Interest, on the other hand, is the charge paid for using those funds. Therefore, the payment for using borrowed money is called 'interest,' while the borrowed amount itself is a 'loan.'

What is the term used to describe the cost incurred … — Agricultural economics | PakQuizHub