### Question
How does the law define the amount applicable to the advance?


### Answer
Under *7 U.S.C. § 948*, **the amount applicable to the advance** is defined as:

> an amount which fully reflects that percentage of the funds saved by the telephone bank as a result of the refinancing which is equal to the percentage representation of the advance in all advances described in subclause (I)

#### Citation:
  - *7 U.S.C. § 948*
  - Heading: **CHAPTER 31-RURAL ELECTRIFICATION AND TELEPHONE SERVICE > SUBCHAPTER IV-RURAL TELEPHONE BANK**

