Final answer:
Regulation Z requires the disclosure of the APR rather than just the simple interest rate. It also categorizes the interest rate on financial aid as a Quantitative continuous variable.
Step-by-step explanation:
Regulation Z, which is also known as the Truth in Lending Act, requires creditors to provide you with the terms and cost of consumer credit transactions.
With regards to the requirement for disclosure of the interest rate calculation method, Regulation Z does not necessarily require that the simple interest rate be disclosed; rather, it requires that the Annual Percentage Rate (APR) be disclosed to consumers. The APR is a broader measure that can take into account simple interest, compound interest, fees, and other charges associated with the loan.
When it comes to the classification of the interest rate charged on financial aid, it would be a Quantitative continuous variable because it represents a measurable amount that changes over a continuum.