There Are Two Common Types of Loans

question 10

Multiple Choice

There are two common types of loans:

• A) single-purpose loans and multiple-purpose loans
• B) single-purpose loans and lines of credit
• C) multiple-purpose loans and venture capital
• D) private placements and lines of credit
• E) one-time-purpose loans and venture capital

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Definitions:

Investing Activities

Transactions related to the acquisition or disposal of non-current assets, including securities, property, and equipment.

Net Cash Provided

The amount of cash generated by a company, typically from operating, investing, and financing activities, minus cash outflows.

Par Value

The face value of a stock or bond as designated by the issuer, which has little relation to its market value but is important for accounting purposes.

Investing Activities

Financial activities related to the acquisition or sale of long-term assets and investments.