The Type of Credit That Allows the Use of One

question 68

Multiple Choice

The type of credit that allows the use of one credit instead of many to be used with the maximum amount available during a certain period of time is called:

• A) A revolving credit.
• B) An irrevocable credit.
• C) A standby credit.
• D) A transferable credit.

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Definitions:

Selling Price

The amount at which a product or service is offered to customers for purchase.

Opportunity Cost

The benefit that is missed or given up when choosing one alternative over another.

Cash Outlay

The total amount of money spent on a particular purchase or investment.

Alternative Investments

Investments in asset classes other than stocks, bonds, and cash, such as real estate, hedge funds, or commodities.