Safety Stock Is Referred to as the ________________

question 26

Multiple Choice

Safety stock is referred to as the ________________.

• A) Excess amounts of fixed assets kept on hand to meet unexpected shocks in demand
• B) Excess amounts of accruals used to fund short-term demands for cash
• C) Excess amounts of a current asset kept on hand to meet unexpected shocks in demand
• D) None of these

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Definitions:

Subject to the mortgage

This phrase denotes that a property is encumbered by a mortgage, meaning any dealings with the property must take into account the mortgage's terms and conditions.

Unregistered Mortgage

An unregistered mortgage refers to a mortgage agreement that has not been formally recorded with a governmental registry or legal authority, potentially affecting its enforceability and priority against other claims.

Prevailing Interest Rates

are the current rates of interest which banks and other financial institutions charge on loans and pay on deposits.

Second Mortgages

A type of mortgage taken out on a property that is already mortgaged, generally used to access home equity.