A Money Loan Is Said to Be Collateralized When

question 126

Multiple Choice

A money loan is said to be collateralized when

• A) an asset is pledged by the borrower to the lender in case of default.
• B) the borrower pays periodic repayments of principal plus interest to the lender.
• C) the loan is used to purchase a capital asset.
• D) interest on the loan is compounded on an annual basis.

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Definitions:

Occasion

A specific time or event for which a particular activity is suited or at which it takes place.

Loyalty

The quality of being faithful in one's support of a particular brand, product, or service, often resulting in repeat purchases or continued engagement.

Salient Attributes

Key features or characteristics of a product or service that are most important to the consumer and influence their purchasing decision.

Symbols

Objects, characters, figures, or colors used to represent abstract concepts, ideas, or phenomena.