The Rule of Thumb Used by Banks Is That Long-Term

question 11

Multiple Choice

The rule of thumb used by banks is that long-term financial obligation should not exceed __________ percent of one's gross financial income.

• A) 8
• B) 18
• C) 28
• D) 38

---

Definitions:

Education

The process of facilitating learning, or the acquisition of knowledge, skills, values, beliefs, and habits through various means.

Irrigation Systems

Networks of tubes, pumps, and canals used to transport water to agricultural crops to enhance growth when rainfall is not sufficient.

Power Generators

Machines or devices that transform various forms of energy into electrical power.

Capital Formation

The process of building up the physical and financial assets of a country or region for the purpose of increasing its capacity for production.