Which of the Following Statements Is Correct

question 54

Multiple Choice

Which of the following statements is correct?

• A) An open-end loan disallows additional credit until the initial amount is paid off.
• B) The average daily balance is equal to the sum of the daily balances divided by the number of days in the billing cycle.
• C) The average daily balance is the same as the average balance.
• D) With open-end loans, an individual makes regular fixed dollar payments for a specified period of time.

---

Definitions:

Workforce Reduction

Strategies or actions taken by an organization to decrease its number of employees, commonly through layoffs, to reduce costs or adjust to market conditions.

Voluntary Severance Packages

Financial incentives offered by employers to encourage employees to voluntarily resign, often used in workforce downsizing scenarios.

Downsizing Strategy

Strategy to improve an organization's efficiency by reducing the workforce, redesigning the work, or changing the systems of the organization.

Senior Management

The highest level of management within an organization, responsible for strategic decision-making and overall leadership.