Which of the Following Statements Is True of Debt Loans

question 103

Multiple Choice

Which of the following statements is true of debt loans?

• A) Management has the discretion in paying the amount to investors.
• B) Debt loans should be repaid at regular intervals.
• C) Returns from debt loans are variable in nature.
• D) Corporations need not pay back the debt loans if they incur losses.

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Definitions:

Ecotechnologies

Innovative applications that utilize ecological principles and practices to solve environmental problems and improve the health of the planet.

Environmental Degradation

The deterioration of the environment through depletion of resources such as air, water, and soil; the destruction of ecosystems and the extinction of wildlife.

Environmental Actions

Initiatives or measures taken to protect the natural environment and to mitigate the impacts of human activities.

Mental Traps

Psychological patterns or biases that lead individuals to interpret or act in ways that are irrational or not in their best interest.