Match the Most Appropriate Term to the Definition

question 36

Multiple Choice

Match the most appropriate term to the definition.
-Based on the belief that all persons inherently know the difference between right and wrong

• A)naturalist theory
• B)legislative branch
• C)positivist theory
• D)executive branch
• E)judicial branch
• F)sociological theory
• G)Bill of Rights
• H)modern balance
• I)legal standard
• J)traditional balance

---

Definitions:

Loan to Value Ratio

A financial term used by lenders to express the ratio of a loan to the value of an asset purchased.

Amortized

Relates to spreading payments over multiple periods to gradually eliminate a liability or loan, incorporating both principal and interest components.

Compounded Semiannually

The calculation of interest where the interest earned over a period is added to the principal, and the process is repeated twice a year.

Gross Debt Service Ratio

A financial ratio that compares an individual's monthly housing costs (including mortgage payments, property taxes, and utilities) to their gross monthly income, used by lenders to assess borrowing capacity.