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True or False: Fees can be configured to automatically calculate a fee as fixed amount or a percentage of the loan amount

User Sean Reyes
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Final answer:

True. Fees can be calculated as a fixed amount or a percentage of the loan amount.

Step-by-step explanation:

True. Fees in business and finance can be configured to automatically calculate a fee as a fixed amount or a percentage of the loan amount. For example, let's say a bank charges a $100 processing fee for a loan, regardless of the loan amount. This is a fixed amount fee. On the other hand, if a bank charges a 1% fee on the loan amount, it means that the fee will vary depending on the loan amount. So, if the loan amount is $10,000, the fee would be $100 (1% of $10,000).

User Trogvar
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