ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -What Is Principal? Principal is most commonly used to refer to the original sum of money borrowed in a loan or put into an investment. It can also refer to the face value of a bond, the owner of a private company, or the chief participant in a transaction.

Detailed explanation-2: -Principal Increase means the amount, if any, equal to the difference between (i) the net proceeds generated from the sale of the Non-core Properties (or any portion thereof) to a third party by the Non-core Purchaser or any receiver appointed in respect thereof and (ii) the Costs; Sample 1Sample 2.

Detailed explanation-3: -As your money will be invested in the top Liquid funds, your principal amount (invested amount) will be safe.

Detailed explanation-4: -As the months and years go by, the principal portion of the payment steadily increases while the interest portion drops. That’s because the interest is based on the outstanding balance of the mortgage at any given time, and the balance decreases as more principal is repaid.