Final answer:
Choosing to pay extra against the loan principal is signified by a minus sign (-), as it reduces your debt. Financial games should be evaluated based on potential gains or losses and confidence in repayment capacity affects borrowing.
Step-by-step explanation:
When you are entering decisions about paying extra against the principal of your loan in a simulation game, choosing to pay back extra would be represented by a minus sign (-). This is because you are reducing the remaining balance of your loan by the amount you pay off. Assessing whether to play a financial game based on expected average winnings, potential financial gain or loss, and market factors such as interest rates and borrower's reliability should inform your decision. Playing the game might be advisable if you expect to come out ahead, decide not to play if you anticipate losing money, or it might not matter if you expect to break even over the long run. Borrowing and repaying dynamics are also affected by consumers' and businesses' confidence in their ability to repay, which shifts the demand for financial capital.