A Line of Credit Is a Financial Arrangement Between a Firm

question 45

True/False

A line of credit is a financial arrangement between a firm and a bank in which the bank pre-approves credit up to a specified limit and guarantees that this credit will be available even if the borrower's credit rating deteriorates.

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Definitions:

PO

An abbreviation for "per os," the Latin term for "by mouth," indicating oral administration of medication.

Daily

Occurring, done, or used every day; daily activities are part of the day-to-day routine.

Inflammatory Condition

A medical state characterized by inflammation, which is the body's response to injury, infection, or irritation.