The term "on margin" means

paying the balance in full for an asset with no down payment.
paying a high-interest rate on a bank or broker loan for an asset.
paying the down payment on an asset and borrowing the balance.
paying a loan back for an asset only after profiting from a trade.

A loan can be defined as a sum of amount an individual collects from a financial institution or an individual with the aim of paying back with interest.

Hence, without adding interest an amount borrowed is not considered a loan.

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love11120 love11120 · Answer 2 · 2022-07-21T07:15:44+02:00

love11120 love11120

21-07-2022

The answer is : C. paying the down payment on an asset and borrowing the balance.

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The term "on margin" means paying the balance in full for an asset with no down payment. paying a high-interest rate on a bank or broker loan for an asset. paying the down payment on an asset and borrowing the balance. paying a loan back for an asset only after profiting from a trade.

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What is a loan?

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The term "on margin" means

paying the balance in full for an asset with no down payment.
paying a high-interest rate on a bank or broker loan for an asset.
paying the down payment on an asset and borrowing the balance.
paying a loan back for an asset only after profiting from a trade.