Which of the Following Statements Regarding Loan Terminology Is True

question 1

Multiple Choice

Which of the following statements regarding loan terminology is true?

• A)Loan covenants are the collateral provided by a borrower to a lender as security on a loan.
• B)A secured loan means that the borrower has a pre-approved line of credit backing the debt.
• C)Lenders can revise loan terms if a borrower violates a loan covenant.
• D)All companies are able to establish lines of credit which will allow them to borrow money as needed,up to a prearranged limit.

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Definitions:

Reflex Pathways

The neural circuits involved in involuntary responses to certain stimuli, enabling rapid reactions without conscious brain involvement.

Motor Neurons

Nerve cells forming part of the nervous system that transmit signals from the brain and spinal cord to muscles or glands, causing them to act.

Interneurons

Neurons within the brain and spinal cord; they communicate internally and process information between the sensory inputs and motor outputs.

Sensory Neurons

Neurons that transmit sensory information from the body's periphery to the central nervous system.