For a fixed loan amount, what happens to the monthly payment as the annual rate increases? a. as the annual rate increases, the monthly payment increases c. as the annual rate increases, the monthly payment stays the same b. as the annual rate increases, the monthly payment decreases d. no correlation

c. as the annual rate increases, the monthly payment stays the same.

Step-by-step explanation:

A loan is an amount of money given by individuals, organizations to borrower over a period of time and to repay the principal amount  with interest.

A fixed loan amount means that a borrower pays the same amount through each stage of agreed payment of the loan. The amount paid installmentally should not vary or fluctuate during the life of the loan. The amount paid by the borrower every month is fixed, thereby ensures that the loan is paid off in full with interest at the end of its term. As the annual rate increases, the monthly payment stays the same but the number of years may increase.

step-by-step explanation:

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