An Example of Open-End Credit Is

question 38

Multiple Choice

An example of open-end credit is:

• A)the use of a bank credit card to make a purchase.
• B)a mortgage loan from a savings and loan institution.
• C)an automobile loan from a credit union.
• D)an installment loan from a furniture store.
• E)an installment loan for purchasing a major appliance.

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Definitions:

Budget

A financial plan that estimates income and expenditures for a future period, often used as a guide for financial decision-making and resource allocation.

Budgetary Control Process

A method for managers to set financial and operational goals with budgets, monitor performance, and take corrective actions to stay on track with objectives.

Budget

An estimate of income and expenditure for a set period of time, serving as a financial plan and control method.

Budgeted Balance Sheet

A budgeted balance sheet forecasts a company's financial position at the end of a future period, projecting assets, liabilities, and equity.