Increased Productivity Due to Technology Has

question 83

Multiple Choice

Increased productivity due to technology has

• A) increased corporations' reliance on debt for capital expansion needs.
• B) created larger asset values on the firm's historical balance sheet.
• C) made it cheaper (in terms of interest costs and timing of when money is transferred) for firms to borrow money.
• D) helped to keep corporate costs in check.

---

Definitions:

Principal Balance

The outstanding amount of a loan or mortgage that remains to be paid, excluding interest.

Mortgage Note Payable

A liability in the form of a written promise to repay a specified amount of money, along with interest, secured by a mortgage on property.

Loan Principal

The original sum of money borrowed in a loan agreement, excluding interest, that must be repaid or serviced.

Interest

Interest is the cost paid for borrowing money, typically expressed as an annual percentage of the principal amount, distinct from interest charged to specific loans.