If You Have a _____ Rate Loan and You Felt

question 259

Multiple Choice

If you have a _____ rate loan and you felt that interest rates are going to _____, you should consider purchasing an interest rate collar.

• A) fixed; rise
• B) fixed; fall
• C) variable; rise
• D) variable; fall
• E) variable; change but you don't know the direction of the change

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Definitions:

Unemployment Tax

A tax imposed by governments on employers based on the wages paid to employees, used to fund unemployment compensation programs.

FICA Tax

A federal tax in the United States, consisting of a Social Security tax and a Medicare tax, deducted from employees' paychecks to fund these programs.

Payroll Information Sheet

A document that contains details about an employee's salary, deductions, and other payroll-related information.

Social Security Number

A unique nine-digit number assigned to individuals in the United States for tracking earnings and benefits within the social security system.