Which of the Following Statements About a Single Payment Loan

question 5

Multiple Choice

Which of the following statements about a single payment loan is correct?

• A) It typically is due in 2-10 years.
• B) It typically has a variable interest rate tied to an index.
• C) It cannot be repaid before the due date.
• D) Its payment amount is known when the loan is approved.

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Definitions:

General Motors

An American multinational corporation headquartered in Detroit, Michigan, that designs, manufactures, markets, and distributes vehicles and vehicle parts.

Sunbelt

A region in the United States defined by its warm climate, extending across the Southeast and Southwest, notable for its significant economic growth and population increase in the late 20th century.

Right-to-Work Laws

Legislation that prohibits union security agreements, allowing employees in unionized workplaces to opt out of joining the union and paying union dues.

Closed Shops

Workplaces where all employees must be members of a specific labor union as a condition of employment, effectively limiting hiring to union members only.